Ask Question
BusinessBusiness
16 August, 18:44

Preparing a Direct Labor Budget Tulum Inc. makes a Mexican chocolate mix. Planned production in units for the first 3 months of the coming year is: January 24,700 February 22,000 March 30,200 Each box of chocolate mix takes 0.4 direct labor hour. The average wage is $17 per hour. Prepare a direct labor budget for the months of January, February, and March, as well as the total for the first quarter.

+5
Answers (2)
  1. 16 August, 20:30
    0
    The direct labor costs for January, February and March are $ 167960

    $ 149600 and $ 205360 and total is $ 522,920

    The direct labor hours for January, February and March are 9880 8800 and 12080. Total Direct Labor hours are 30760

    Explanation:

    Tulum Inc.

    Direct Labor Budget

    January February March Total

    Units 24,700 22,000 30,200 76,900

    DLH per unit 0.4 0.4 0.4

    DLHs 9880 8800 12080 30760

    Wage/hr $ 17 $ 17 $ 17

    Wages $ 167960 $ 149600 205360 $ 522,920

    The direct labor costs for January, February and March are $ 167960

    $ 149600 and $ 205360 and total is $ 522,920

    The direct labor hours for January, February and March are 9880 8800 and 12080. Total Direct Labor hours are 30760
  2. 16 August, 22:43
    0
    Jan = $306 in direct labour costs

    Feb = $272 in direct labour costs

    March = $357 in direct labour costs

    Total for the quarter = $935 in direct labour costs

    Explanation:

    0.4 hours is 24 minutes

    January

    = 24 700 units / 24 minutes = 1029

    1029 minutes would be required for 24 700 units

    1029 minutes / 60 = 17.15 hours. We round up to 18 hours

    18 hours * $17 per hour = $306

    Therefore, $306 in direct labour costs in January

    February

    = 22 000 units / 24 minutes = 917

    917 minutes would be required to produce 22 000 units

    917 minutes / 60 = 15.3 hours. We round up to 16 hours

    16 hours * $17 per hour = $272

    Therefore, $272 in direct labour costs in February

    March

    = 30 200 units / 24 minutes = 1258

    1258 minutes would be required to produce 30 200 units

    1258 minutes / 60 = 20.97 hours. We round up to 21 hours

    21 hours * $17 per hour = $357

    Therefore, $357 in direct labour costs in March

    Total for the quarter = 306 + 272 + 357 = 935

    $935 in direct labour costs for the first quarter
Know the Answer?
Not Sure About the Answer?
Get an answer to your question ✅ “Preparing a Direct Labor Budget Tulum Inc. makes a Mexican chocolate mix. Planned production in units for the first 3 months of the coming ...” in 📙 Business if there is no answer or all answers are wrong, use a search bar and try to find the answer among similar questions.
Search for Other Answers
You Might be Interested in
Denny buys a rare coin for $200 and sells the coin 1 year later for $220. dennys rate of return is A. 20% B. 10% C. 110% D. 91%
Answers (2)
Joker Corporation owns 80% of Klue Corporation. Joker Corporation also owns 45% of Lion Corporation and 45% of Mark Corporation. Klue Corporation owns 40% of Lion Corporation and 10% of Mark Corporation.
Answers (1)
Network economics Select one: A. applies the law of diminishing returns to communities of users. B. balances the high cost of adding new members to a community against the lower cost of using network infrastructure. C.
Answers (1)
Jim is being paid $7.25 an hour to work at a restaurant. In the circular flow, this is an example of a: household selling a resource in the factor market. household buying goods and services in the factor market.
Answers (1)
Sure Tea Co. has issued 9% annual coupon bonds that are now selling at a yield to maturity of 10% and current yield of 9.8375%. What is the remaining maturity of these bonds?
Answers (1)
New Questions in Business
Can vertical integration fail to eliminate conflict completely
Answers (1)
Use the information in each of the following separate cases to calculate the unknown amount. a. Corentine Co. had $152,000 of accounts payable on September 30 and $132,500 on October 31. Total purchases on account during October were $281,000.
Answers (1)
A client diagnosed with polycythemia vera has come into the clinic because he has developed a nighttime cough, fatigue, and shortness of breath. What complication would you suspect in this client?
Answers (1)
In a certain economy, the components of planned spending are given by: C = 500 + 0.8 (Y - T) - 300r Ip = 200 - 400r G = 200 NX = 10 T = 150 Given the information about the economy above, which expression below gives autonomous expenditures? A.
Answers (1)
What would happen to the buying power of your investment after one year if your rate of return was 8% and the rate of inflation was 3%?
Answers (1)
Home » Business » Preparing a Direct Labor Budget Tulum Inc. makes a Mexican chocolate mix. Planned production in units for the first 3 months of the coming year is: January 24,700 February 22,000 March 30,200 Each box of chocolate mix takes 0.4 direct labor hour.
Sign Up Forgot Password?