Final answer:
The total labor cost for producing 100 units is $880, calculated by multiplying the total direct labor-hours (55 hours) needed for 100 units by the direct labor cost per hour ($16.00).
Step-by-step explanation:
The total labor cost for producing 100 units requires calculating the amount of labor needed and then multiplying that by the cost of labor per hour. Given that each unit requires 0.55 direct labor-hours and laborers are paid $16.00 per hour, the first step is to calculate the total direct labor-hours for 100 units.
Total direct labor-hours needed = 0.55 hours/unit × 100 units = 55 hours.
Next, we calculate the total labor cost:
Total labor cost = Direct labor-hours × Direct labor cost per hour = 55 hours × $16.00/hour = $880.
Therefore, the total labor cost for producing 100 units is $880.