I need help with three homework problems....

1. LHU Corporation makes and sells a product called Product WZ. Each unit of Product WZ requires 2.7 hours of direct labor at the rate of $23.00 per direct labor-hour. Management would like you to prepare a Direct Labor Budget for June.

The budgeted direct labor cost per unit of Product WZ would be:

$6.40 per unit

$62.10 per unit

$33.70 per unit

$23.00 per unit

2. Galante Kennel uses tenant-days as its measure of activity; an animal housed in the kennel for one day is counted as one tenant-day. During May, Kennel budgeted for 4,500 tenant-days, but its actual level of activity was 4,480 tenant-days. Kennel has provided the following data concerning the formulas used in its budgeting and its actual results for May:

Data used in budgeting:

	Fixed element per month	Variable element per tenant-day
Revenue		$31.00
Wages and salaries	$3,500	$7.00
Food and supplies	900	11.80
Facility expenses	8,500	4.00
Administrative expenses	8,300	0.40
Total expenses	$21,200	$23.20

Actual results for May:

Revenue	$108,280
Wages and salaries	$23,550
Food and supplies	$36,795
Facility expenses	$19,300
Administrative expenses	$9,150

The net operating income in the flexible budget for May would be closest to:

$13,744

$13,900

$19,485

$19,391

3. Karmazyn Hospital bases its budgets on patient-visits. The hospital's static budget for October appears below:

Budgeted number of patient-visits	8,700
Budgeted variable costs:
Supplies (@ $9.80 per patient-visit)	$ 85,260
Laundry (@ $9.50 per patient-visit)	82,650
Total variable cost	167,910
Budgeted fixed costs:
Wages and salaries	99,820
Occupancy costs	107,820
Total fixed cost	207,640
Total cost	$375,550

The total variable cost at the activity level of 8,800 patient-visits per month should be:

$209,970

$167,910

$169,840

$207,640