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A business employs two grades of labour in its production department. Grade A workers are
considered direct labour employees, and are paid $10 per hour. Grade B workers are
considered indirect labour employees, and are paid $6 per hour.
In the week just ended, Grade A labour worked 30 hours of overtime, 10 hours on a specific
customer order at the customer’srequest, and the other 20 hours as general overtime. Grade
B labour worked 45 hours of overtime, as general overtime. Overtime is paid at time?and?
one?half.
What would be the total amount of pay for overtime worked in the week that is considered
to be a direct labour cost?
A $50
B $150
C $285
D $350
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