The Geurtz Company uses standard costing. The company makes and sells a single product called a Roff. The following data are for the month of August:
• Actual cost of direct material purchased and used: $103,525
• Material price variance: $2,525 unfavorable
• Total materials variance: $20,525 unfavorable
• Standard cost per pound of material: $4
• Standard cost per direct labor-hour: $8
• Actual direct labor-hours: 12,050 hours
• Labor efficiency variance: $3,200 favorable
• Standard number of direct labor-hours per unit of Roff: 3 hours
• Total labor variance: $4,030 unfavorable
The actual direct labor rate per hour was:
A. $8.60
B. $4.10
C. $8.00
D. $24.00