Question

Depasquale Corporation is working on its direct labor budget for the next two months. Each unit of output requires 0.51 direct labor-hours. The direct labor rate is $8.60 per direct labor-hour. The production budget calls for producing 6,600 units in May and 7,000 units in June. If the direct labor work force is fully adjusted to the total direct labor-hours needed each month, what would be the total combined direct labor cost for the two months?

Answer 1

Answer:

Total Direct labor 59649.6

Explanation:

We have to multiply the production per month, by the amount of hourd it takes to do a single units, then we multiply by the rate per hour.

May 6,600 units x 0.51 DL x 8.6 rate = 28947.6 direct labor cost

June 7,000 units x 0.51 DL x 8.6 rate = 30,702

FInally, we add both values to get the total

Total Direct labor 59649.6