Answer:
Total direct labor cost= $80,000
Explanation:
Giving the following information:
Labor costs incurred during a recent period were:
corporate executives, $100,000
assembly-line workers, $80,000
security guards, $18,000
plant supervisor, $30,000
A labor cost is categorized as direct labor when it can be directly traced to the product line, meaning to a specific product.
In this case, the only direct labor cost is the assembly-line workers.
The security guards and plant supervisors are indirect labor, categorized in manufacturing overhead costs.
Total direct labor cost= 80,000
The total of Norwood's direct labor cost is = $80,000
Giving the following information as per question is:
The Labor costs incurred during recent years were:
The corporate executives are $100,000
assembly-line workers, $80,000
Then the security guards are $18,000
plant supervisor, $30,000
When A labor cost is categorized as direct labor when it can be directly traced to the product line, meaning to a specific product.
Only, In this case, the only direct labor cost is the assembly-line workers.
Then The security guards and also plant managers are indirect labor, categorized in manufacturing overhead costs.
Therefore, The Total direct labor cost is = 80,000
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