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. Select Year Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 Sales Forecast & Production Budget (in Units) Budgeted Production 10,000- Sales Forecast 8,000 6160 6,000 5635 4,000- 2,000- 0 April March April May June 7700 7525 7875 7175 6300 6125 May June Ending Direct Materials Inventory by Month 9856 July Solve for this value Solve for this value 2,000 4,000 Solve for this value 6,000 8,000 10,000 12,000 14,000 Direct labor rate Direct materials cost Variable overhead rate 3 25 +ableau 18 Complete this question by entering your answers in the tabs below. Req 1 Req 2 Req 3A and 3B Req 4 For Year 7, 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.) Important! Be sure to click the correct Year at the top of the dashboard. Units to produce Direct labor hours required per unit Direct labor hours needed Direct labor cost per hour Cost of direct labor DELRAY MANUFACTURING Direct Labor Budget For April, May, and June April May June 6,160 7,700 7,525 units < Req 1 Req 2 > Complete this question by entering your answers in the tabs below. Req 1 Req 2 Req 3A and 3B Req 4 For Year 7, prepare a factory overhead budget for each month of April, May, and June. Important! Be sure to click the correct Year at the top of the dashboard. DELRAY MANUFACTURING Factory Overhead Budget Direct labor hours needed (part 1) Variable overhead rate per DLH Budgeted variable overhead For April, May, and June April May June Budgeted fixed overhead Budgeted total factory overhead < Req 1 Req 3A and 3B > Complete this question by entering your answers in the tabs below. Req 1 Req 2 Req 3A and 3B Req 4 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. For Year 7, compute the direct labor budget for April assuming the company (a) does not hire more skilled workers and (b) hires more skilled workers. Important! Be sure to click the correct Year at the top of the dashboard. Units to produce Direct labor hours required per unit Direct labor hours needed Direct labor cost per hour Cost of direct labor DELRAY MANUFACTURING Direct Labor Budget for April Does Not Hire Does Hire 6,160 6,160 units < Req 2 Req 4 > Show less Complete this question by entering your answers in the tabs below. Req 1 Req 2 Req 3A and 3B Req 4 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 unit 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)? Important! Be sure to click the correct Year at the top of the dashboard. Question How would this change to more skilled workers impact total budgeted factory overhead (assuming the budgeted variable overhead rate is unchanged)? < Req 3A and 3B Answer Decrease budgeted factory overhead. Req 4 Show less