Jennifer Bynoe is a machine operator at RL Wheels. She is paid $25 per hour for a

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Question:

Jennifer Bynoe is a machine operator at RL Wheels. She is paid $25 per hour for a 35-hour week. Overtime is paid at a rate of time and a half.

i) Assume that during a given week Jennifer worked a total of 40 hours. There was no idle tie recorded for this week. Allocate Jennifer’s wages between direct labor cost and manufacturing overhead cost.

ii) Assume during a given week Jennifer was idle for 3 hours due to power failure and 2 more hours due to machine breakdowns. There was no overtime recorded this week. Allocate Jennifer’s wages between direct labor cost and manufacturing overhead cost.

iii) Assume the following week a total of 6 overtime hours were recorded. Jennifer was also idle for 2 hours due to material shortages. Allocate Jennifer’s wages between direct labor cost and manufacturing overhead cost.

iv) Assume that during a given week Jennifer worked 43 hours. She was idle for 3 hours due to machine breakdowns. Allocate Jennifer’s wages between direct labor cost and manufacturing overhead cost.