Levi Strauss & Co. manufactures slacks and jeans under a variety of brand names, such as Dockers® and 501 Jeans®. Slacks and jeans are assembled by a variety of different sewing operations. Assume that the sales budget for Dockers and 501 Jeans shows estimated sales of 62,500 and 48,000 pairs, respectively, for February 2013. The finished goods inventory is assumed as follows:

Assume the following direct labor data per 10 pairs of Dockers and 501 Jeans for four different sewing operations:

a. Prepare a production budget for February. Prepare the budget in two columns: Dockersâ„¢ and 501 Jeansâ„¢.
b. Prepare the February direct labor cost budget for the four sewing operations, assuming a $14 wage per hour for the inseam and outerseam sewing operations and an $18 wage per hour for the pocket and zipper sewing operations.
Prepare the direct labor cost budget in four columns: inseam, outerseam, pockets, andzipper.

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February 1 estimated inventory February 28 desired inventory Dockers 4,500 5,000 501 Jeans 2,000 2,500 Direct Labor per 10 Pairs Dockers 501 Jeans 12 minutes Inseam Outerseam Pockets Zipper Total 10 minutes 12 36 minutes 30 minutes