Asked by Aksarapak Bunchongpru on May 06, 2024
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Sthilaire Corporation is working on its direct labor budget for the next two months. Each unit of output requires 0.33 direct labor-hours. The direct labor rate is $8 per direct labor-hour. The production budget calls for producing 8,600 units in April and 8,500 units in May. The direct labor workforce is fully adjusted each month to the required workload.
Required:Prepare the direct labor budget for the next two months. (Round "labor-hours per unit" answers to 2 decimal places.)
Direct Labor Budget
Direct labor budget is a financial plan that estimates the cost of direct labor required to meet production goals, detailing the amount and cost of the labor necessary for a specific period.
Labor-Hours Per Unit
Labor-hours per unit measures the amount of labor time required to produce one unit of a product.
Direct Labor Rate
The hourly wage rate paid to workers who are directly involved in manufacturing or producing goods.
- Ascertain the direct labor prerequisites and associated financial implications based on production objectives.
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Learning Objectives
- Ascertain the direct labor prerequisites and associated financial implications based on production objectives.
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