HUUM Homework: Chapter six-SP 21 Save Score: 0 of 1 pt 2 of 4 (0 complete) HW Score: 0%, 0 of 4 pt E6-29 (book/static) Question Help DeWitt Company makes and sells artistic frames for pictures of weddings, graduations, and other special events. Ron Bahar, the controller, is responsible for preparing De Wit's master budget and has accumulated the following information for 2021 Click the loan to view some of the financial information. (Click the icon to view additional information) Read the requirements More Info - X or DeWitt Company by month and for the first quarter of 2021. You buld include labor hours and show the details for each labor cost et manufacturing labor time needed for the three months in the he schedule for the direct manufacturing labor by nonth, then quarter interim calculations, and then enter all amounts in the budget fother In addition to wages, direct manufacturing labor related costs include pension contributions of 50 40 per hour worker's compensation insurance of $0.10 per hour employee medical insurance of 50 50 per hour and Social Security taxes Assume that as of January 1, 2021, the Social Security tax rates are 7.5% for employers and 75% for employees. The cost of employee benefits paid by DeWit on its direct manufacturing employees is troated as a direct manufacturing labor cost DeWitt has a labor contract that calls for a wage increase to $12 per hour on April 1.2021 Newlabot saving machinery has been installed and will be fully operational by March 1, 2021. DeWitt expects to have 16,000 frames on hand at December 31, 2020, and it has a policy of carrying an end-of-month inventory of 100% of the following month's sales plus 50% of the second following month's sales Print Done Direct manufacturing labor hours per unit ng informal Tor 2021 e icon to view some of the financial information. (Click the icon to view additional information quiren 0 Data Table . nt 1. ne both arte aci 2021 chedule en calcu April May direct Frect mal mon mon n the 11 000 11,000 Estimated sales in units Selling price Direct manufacturing labor-hours per unit Wage per direct manufacturing labor-hour January February March 12,000 13,000 6.000 $ 53.00 $ 52.00 $ 5200 $ 3.0 3.0 2.0 S 11.00 $ 11.00 $ 11.00 $ 52.00 52.00 $ 2.0 12.00 $ 2.0 12.00 Print Done ed sales * Requirements - X get ending quirement beginning be produ manufactur hours of dire 1. Prepare a production budget and a direct manufacturing labor cost budget for DeWit Company by month and for the first quarter of 2021. You may combine both budgets in one schedule. The direct manufacturing labor cost budget should include labor hours and show the details for each labor cost category 2. What actions has the budget process prompted DeWitt's management to take? 3. How might DeWitt's managers use the budget developed in requirement 1 to better manage the company? Print Done any number in the edit fields and then click Check Answer ans emaining Clear All Check
