The Perfect Tool Company (South America Division) produced 80,000 saw blades during the year. It took 1.5 hours of labor per blade at a rate of $8.50 per hour. However, its standard labor rate is $8.00. Its labor efficiency variance was an unfavorable $40,000.
Refer to Figure 10-8. What is Perfect's standard hours allowed for a volume of 80,000 blades?

a. 210,000 hours

b. 189,000 hours

c. 115,000 hours

d. 125,000 hours

Answer rating: 100% (QA)

c 115000 Hours is the correct answer Explanation Labor Efficiency Var... View the full answer