A shipping department that constructs wooden boxes for large switchgear has five direct labor workers.

The firm uses an allowance factor of 10% for work of this kind. Average labor costs $18.75 per hour.

A work-sampling study is undertaken, and the following observations of work elements are recorded over a 15-day, 8-hour period.

A rating factor of 90% was assigned. The number of boxes shipped during this period is 26.

Description                                                                                              Count

Set up and dismantle                                                    312

Construct crates                                                           264

Load switch gear in crates                                            204

Move materials                                                            324

Idle                                                                           96

1. Find the elemental cost.

2. What is the standard labor cost per box?

3. Estimate the actual cost per box.