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A-LevelAccountingTraditional costing methods9706/12 · Feb/Mar 2023 · Q231 Mark

A manufacturer operates a bonus system. He provides the following information. output required from each worker 175 units time allowed to complete output 10.5 hours actual time worked by Fred 7 hours A bonus is paid of 25% of the labour costs for time saved, in addition to the hourly rate of $8.75. What did Fred earn for his output of 175 units?

A$68.91
B$76.56
C$91.88
D$99.53

✓ Correct answer

A: $68.91

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About this question

Topic
Traditional costing methods, A-Level Accounting (syllabus 9706). Multiple choice, 1 mark.
Source
A-Level Accounting, Feb/Mar 2023 Paper 1 Variant 2, question 23.

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