Answer:
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
