A Company Using a Standard Costing System Uses an Actual

Multiple Choice

A company using a standard costing system uses an actual quantity of 520 direct labour hours at an actual cost of $5.90 per hour. The direct labour hours quantity allowed was 500 hours at a standard cost of $6.00 per hour. What is the cost of direct labour that would appear in work in process inventory?

A) $3068
B) $3120
C) $2950
D) $3000