Oakwood Creations Co. makes decorative candle pedestals. An industrial engineer consultant developed ideal time standards for one unit of the Berkley model pedestal. The standards follow, along with the cost accountant’s determination of current labor pay rates:

Required:
a. Using the preceding data, calculate the direct labor cost for a Berkley model pedestal.
b. Would it be appropriate to use the cost calculated in a as a standard cost for evaluating direct labor performance and valuing inventory? Explain your answer.

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Worktype 1 .......... Worktype 2.... Worktype 3 ... .... 0.12 hour @ $14.70 per hour 0.24 hour @ $13.10 per hour 0.48 hour @ $23.40 per hour