Cima C01 Exam Question No 29

Question No 29:

G repairs electronic calculators. The wages budget for the last period was based on a standard repair time of 24 minutes per calculator and a standard wage rate of $10.60 per hour.
Following the end of the budget period, it was reported that:

Number of repairs                         31,000
Labour rate variance                     $3,100 (A)
Labour efficiency variance             Nil

Based on the above information, the actual wage rate during the period was:
A. $10.35 per hour
B. $10.60 per hour
C. $10.85 per hour
D. $11.10 per hour

Answer: A