Pendel Company produces a variety of garden tools. The production budget for rakes is shown for the

Question:

Pendel Company produces a variety of garden tools. The production budget for rakes is shown for the following months:

Units

March ....50,000

April ......60,000

May ....30,000

June ....28,000

Each rake produced requires (on average) 0.15 direct labor hour. The average cost of direct labor is $18 per hour.


Required:

Prepare a direct labor budget for March, April, and May, showing the hours needed and the direct labor cost for each month and in total.

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