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A firm performs oil changes checks for cars.
One Saturday, 160 cars were serviced, and 38 hours of direct labor were used. Direct labor price variance was $19 (unfavorable).
If the firm's standard price for direct labor is $7 per hour, what is the actual direct labor price?
(Hint: think about the direct labor price variance formula.)
Group of answer choices
$6.67 per hour
$9.00 per hour
Cannot be determined from this information.
$7.50 per hour
Answer & Explanation
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