Sthilaire Corporation is working on its direct labor budget for the next two mon

Question

Sthilaire Corporation is working on its direct labor budget for the next two months. Each unit of output requires 0.27 direct labor-hours. The direct labor rate is $9.00 per direct labor-hour. The production budget calls for producing 3,400 units in April and 3,300 units in May. The company guarantees its direct labor workers a 40-hour paid work week. With the number of workers currently employed, that means that the company is committed to paying its direct labor work force for at least 960 hours in total each month even if there is not enough work to keep them busy. Required Prepare the direct labor budget for the next two months. (Round "labor-hours per unit" & "labor cost per hour" answers to 2 decimal places.) April May Required production in units Direct labor-hours per unit Total direct labor-hours needed Total direct labor-hours paid Direct labor cost per hour Total direct labor cost

Explanation / Answer

April May Required production in units 3400 3300 Direct labor hours per unit 0.27 0.27 Total direct labor hours needed 918 891 Total direct labor hours paid 960 960 Direct labor cost per hour $ 9.00 9.00 Total direct labor cost $ 8640 8640

Related Questions

Navigate

• Browse (All)
• Browse S
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.