Question
Northcutt's production data for a new deluxe product were taken from the most recent quarterly production budget: July August September Planned production in units 750
Northcutt's production data for a new deluxe product were taken from the most recent quarterly production budget:
July | August | September | |
Planned production in units | 750 | 850 | 730 |
In addition, Northcutt produces 4,500 units a month of its standard product. It takes 2 direct labor hours to produce each standard unit and 2.50 direct labor hours to produce each deluxe unit. Northwest's cost per labor hour is $15. Direct labor cost for August would be budgeted at:
$166,875.
$163,125.
$191,250.
$194,250.
Some other amount.
Northcutt's production data for a new deluxe product were taken from the most recent quarterly production budget:
July | August | September | |
Planned production in units | 850 | 950 | 830 |
In addition, Northcutt produces 4,700 units a month of its standard product. It takes 2 direct labor hours to produce each standard unit and 2.50 direct labor hours to produce each deluxe unit. Northwest's cost per labor hour is $14. Direct labor cost for the quarter would be budgeted at:
$451,425.
$466,025.
$480,100.
$486,850.
Some other amount.
Quattro began operations in April of this year. It makes all sales on account, subject to the following collection pattern: 30% are collected in the month of sale; 60% are collected in the first month after sale; and 10% are collected in the second month after sale. If sales for April, May, and June were $58,000, $78,000, and $68,000, respectively, what were the firm's budgeted collections for April?
$17,400.
$20,400.
$58,200.
$40,600.
Some other amount.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started