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i need help with this question Ikon Equipment produces exercise equipment. The following schedule reveals anticipated monthly production of bicycles for the first three months
i need help with this question
Ikon Equipment produces exercise equipment. The following schedule reveals anticipated monthly production of bicycles for the first three months of the year: January 12,000 February 15,000 March 13,000 Ikon budgets for 4 direct labor hours per bicycle, at an average cost of $17.00 per hour. Variable factory overhead is applied at the rate of $11.00 per direct labor hour. Fixed overhead is expected to run $120,000 per month, which includes $11,000 per month of noncash expenses related to depreciation. Determine the total expected monthly cash outflow for labor and overhead. \begin{tabular}{|l|c|} \hline January Expected cash outflow & 1,298,000 \\ \hline February Expected cash outflow & 1,585,000 \\ \hline March Expected cash outflow & 1,399,000 \\ \hline \end{tabular} \begin{tabular}{|l|c|} \hline January Expected cash outflow & 1,453,000 \\ \hline February Expected cash outflow & 1,789,000 \\ \hline March Expected cash outflow & 1,565,000 \\ \hline \end{tabular} \begin{tabular}{|l|c|} \hline January Expected cash outflow & 1,212,000 \\ \hline February Expected cash outflow & 1,450,000 \\ \hline March Expected cash outfloin & 1,354,000 \\ \hline \end{tabular} \begin{tabular}{|l|c|} \hline January Expected cash outflow & 1,489,000 \\ \hline February Expected cash outflow & 1,780,000 \\ \hline March Expected cash outflow & 1,550,000 \\ \hline & \\ \hline January Expected cash outflow & 1,356,000 \\ \hline February Expected cash outflow & 1,534,000 \\ \hline March Expected cash outflow & 1,896,000 \\ \hline \end{tabular} Step by Step Solution
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