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Delray Manufacturing needs to better budget and analyze costs. While Delray has experienced high sales growth, it has struggled to effectively manage costs and inventories.

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Delray Manufacturing needs to better budget and analyze costs. While Delray has experienced high sales growth, it has struggled to effectively manage costs and inventories. Delray aims to end each month with direct materials inventory equal to 40% of next month's production needs. Each finished unit requires 4 pounds of direct materials and 2 hours of direct labor. Delray budgets $12,000 of fixed overhead costs per month. A Tableau Dashboard is provided to aid our analysis. Ending Direct Materials Inventory by Month Direct labor rate Direct materials cost Variable overhead rate Direct labor rate Direct materials cost Variable overhead rate 1. Prepare a direct labor budget for each month of Aprili, May, and June. 2. Prepare a factory overhead budget for each month of Aprili, May, and June. 3. The company is considering hiring more skilled workers. These workers would increase the direct labor rate to $21 per hour and reduce direct labor hours required per finished good to 1.5 hours. Compute the direct labor budget for April assuming the company (a) does not hire more skilled workers and (b) hires more skilled workers. 4. The company is considering hiring more skilled workers. These workers fould increase the direct labor rate to $21 per hour and reduce direct labor hours required per finished good to 1.5 hours. How would this change to more skilled workers impact total budgeted factory overhead (assuming the budgeted variable overhead rate is unchanged)? Complete this question by entering your answers in the tabs below. Prepare a direct labor budget for each month of April, May, and June. (Enter your direct labor hours (hrs.) per unit in two decimal places.) Prepare a factory overhead budget for each month of April, May, and June. The company is considering hiring more skilled workers. These workers would increase the direct labor rate to $21 per hour and reduce direct labor hours required per finished good to 1.5 hours. Compute the direct labor budget for April assuming the company (a) does not hire more skilled workers and (b) hires more skilled workers

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