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please answer this questions with the complete formula in excel. thank you Jerome Corporation is a new company and working on its direct labor budget
please answer this questions with the complete formula in excel. thank you
Jerome Corporation is a new company and working on its direct labor budget for the next two months. Each unit of output requires 0.41 direct labor-hours. The direct labor rate is $8.50 per direct labor-hour. The production budget calls for producing 2,300 units in August and 2,200 units in September. The company guarantees its direct labor workers a 40-hour paid work week. With the number of workers currently employed, that means that the company is committed to paying its direct labor work force for at least 960 hours in total each month even if there is not enough work to keep them busy. Required: 1. Construct the direct labor budget for the next two months. [7 marks] 2. If the company decides to eliminate the committed paid hour policy, how would this change of policy change the budget for the next two months? [7 marks] 3. The company plans to have a training for its workers and expect the direct labor-hours per unit will be changed to 0.30 per unit of output. Analyze how this change will affect the budget for the next two months providing the company eliminate the committed paid hour policy. [11 marks]Step by Step Solution
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