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8.Hey can someone please help me ; The company is currently analyzing direct labor hour requirements for the upcoming year. Cutting Assembly Estimated hours per

8.Hey can someone please help me ; The company is currently analyzing direct labor hour requirements for the upcoming year.

Cutting Assembly
Estimated hours per unit:
Royal. . . . . . . . . . . 1.0 2.4
Regal. . . . . . . . . . . 1.3 2.6
Imperial. . . . . . . . . 1.9 2.9
Direct labor hour rate. . . . $13 $16

Industries manufactures three models of a product in a single plant with two departments: Cutting and Assembly. The company has estimated costs for each of the three product models, the

Royal,

the

Regal,

and the

Imperial

models.

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Requirement

Prepare a direct labor budget for the upcoming year that shows the budgeted direct labor costs for each department and for the company as a whole.

Question content area bottom

Part 1

Prepare the direct labor budget for the Cutting Department, then the Assembly Department, and finally the company as a whole.Total cutting hours required

Multiply by: Direct labor cost per hour

Budgeted direct labor cost

Rouse Industries
Direct Labor Budget
For the Upcoming Year
Royal Regal Imperial Total
Cutting Department
Units to be produced
Multiply by: Direct labor hours per unit
Total cutting hours required

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