A company makes a product for which the standard hour is 0.2. The budgeted production hours for a given week were 10,500. During the week the production staff were able to produce 1,980 units of product. Actual wage costs were $65,000 and idle time was recorded as $1,625. The wage rage was $6.50 per hour. The efficiency ration was

 

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A company makes a product for which the standard hour is 0.2. The budgeted production hours for a given week were 10,500. During the week the production staff were able to produce 1,980 units of product. Actual wage costs were $65,000 and idle time was recorded as $1,625. The wage rage was $6.50 per hour. The efficiency ration was therefore: a. 94.3% O b. 99.0% O c. 101.5% O d. 97.5%

Expert Answer

Standard hour for actual production = 1980 *… View the full answer