The standard labor rate per hour should not include any employment taxes.

Standard Labor Rate

A predetermined rate used to allocate labor costs to products or services, based on the expected or average wage rate for labor.

Employment Taxes

Taxes that employers are required to pay on behalf of their employees, such as social security and Medicare taxes.

Evaluate the significance of quantity and price standards in the control of expenses related to labor and materials.

Verified Answer

Final Answer :

False

Explanation :

The standard labor rate per hour should include employment taxes, as these are additional costs incurred by the employer for each hour of labor.

Learning Objectives

Evaluate the significance of quantity and price standards in the control of expenses related to labor and materials.