All Direct Materials The Direct Labor Budget shows how many hours are required for production and the total cost of those hours. It takes 0.12 hours to produce one t-shirt. The average wage cost per hour is $10. Texas Rex, Inc. Direct Labor Budget For the year ending December 31, 2018 Q1 Q2 Q3 Q4 Total Units to be Produced Direct Labor time per unit_______ _______ ________ _______ ________ Total Hours Needed Avg. Wage cost per hour_______ _______ ________ _______ ________ Total Direct Labor Cost The overhead budget shows forecasted variable and fixed overhead costs for the coming year. For Texas Rex the variable overhead rate is $5 per direct labor hour. Fixed overhead is budgeted at $1645 per quarter. Texas Rex, Inc. Overhead Budget For the year ending December 31, 2018 Q1 Q2 Q3 Q4 Total Budgeted Direct Labor hours Variable Overhead Rate _______ _______ ________ ________ _______ Budgeted Variable Overhead Budgeted Fixed Overhead _______ _______ ________ _______ ________ Total Overhead Cost Calculate the Total Unit Cost: Direct Materials Direct Labor Overhead Total Unit Cost