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Question - Joselito Jordas, a factory worker of the Ogayon Industries which is producing Blue Chocolate Supplies, is paid a regular rate of P500 per hour for a regular week consisting of 40 hours. The said company has two shifts: morning and night shifts. Mr. Jordas works for the night shift, being an insomniac and is rumoured to be a vampire. During the week ended August 28, 2015, the said worker worked for 48 hours and earned one half of his regular rate as overtime premium. He is currently paid a shift premium of P50 per hour, due to the dangerous location of the factory owned by Mr. Armand Ogayon, within the confines of Barangay Richmond, notorious for gang wars. Payment of wages and the corresponding premiums is based on Philippine practice.
Required -
1. What is the total direct labor cost for the said employee?
2. How many hours should be charged with direct labor?
3. How many hours should be charged to factory overhead?
4. What is the total gross pay of Mr. Joselito Jordas for the said week?
5. What is the total factory overhead cost for the said employee?
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