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Question - Information of labour hours worked for company XYZ is provided below:
Direct labor
Indirect labor
Payroll hours:
Production
456
117
Idle time
32
4
Total
488
121
Rate per hour
Basic
$7.5
$6.0
Overtime
$2.5
$2.0
Additional information:
1. There are 12 direct and 3 indirect labor people.
2. The basic wage rate apply to normal working week of 37 hours.
Required - Calculate gross wage, direct and indirect labor expenses.
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