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MrRissso [65]
3 years ago
9

Pro Clean Company, a manufacturer of hand sanitizers, intends to produce 40,000 units in the third quarter and 35,000 units in t

he fourth quarter. Each unit requires 0.50 direct labor-hours (DLHs) and the cost of direct labor per hour is $18. What would be the total direct labor cost for the fourth quarter?
Business
1 answer:
docker41 [41]3 years ago
4 0

Answer:

$315,000

Explanation:

Data provided as per the question is below:-

Fourth quarter = 35,000 units

Direct labor-hours = 0.5

Cost of direct labor per hour = $18

The computation of total direct labor cost for the fourth quarter is shown below:-

Total direct Labor cost in fourth quarter = Fourth quarter × Direct labor-hours ×  Cost of direct labor per hour

= 35,000 × 0.5 × $18

= $315,000

Therefore, for computing the total direct Labor cost in fourth quarter we simply applied the above formula.

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3 years ago
Chubbs Inc.’s manufacturing overhead budget for the first quarter of 2017 contained the following data.
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Explanation:

a. Manufacturing overhead Flexible budget report

                                Budget      Actual      Favorable (Unfavorable)

Variable cost          

Indirect material      $11,100      $14,900     $3,800  U

Indirect labor           $11,000     $9,600      $1,400   F

Utilities                     $7,700      $9,100       $1,400   U

Maintenance            $5,500     $4,800      $700     F

Total Variable cost  $35,300    $38,400    $3,100  U

Fixed expenses

Supervisory Salary    $36,700   $36,700     0

Depreciation              $6,100       $6,100      0

Property, taxes          $7,400       $8,500    $1,100    U

Maintenance              $4,900      $4,900     0            U

Total fixed expense  $55,100     $56,200  $1,100    U

Total controllable

cost                             $90,400    $94,600   $4,200 U

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Indirect labor           $11,000     $9,600      $1,400   F

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Maintenance            $10,400    $9,700      $700      F

Supervisory salaries$36,700   $36,700     0

Total                          $76,900   $80,000    $3,100  U

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