Answer:
Total budgeted production costs $ 3378,000
Explanation:
Production Units= Ending Units + sales - Beginning Units
Production units= 43000+ 83000-53000= 73000
Direct materials $14per unit *73000= $ 1022,000
Direct labor $25per unit *73000= $ 1825,000
Variable factory overhead $6per unit *73000= $ 438,000
Fixed factory overhead $93,000
Total Manufacturing Costs $ 3378,000
Total Production Costs do not include Selling costs. Production costs include costs required to convert raw material into specific products. Selling costs are related to the sale of a product.
The production costs include the costs of manufacturing , FOH, direct materials and direct labor.
