Please use the information provided to answer/review/correct Requirement 7 and 8 (a summary explanation would be much appreciated). Would be grateful for any help you can provide.

Requirement 8- Reference for Question 3 below.

Quivers Inc. began operations on January 1 of the current year. The company produces eight-ounce bottles of jet wax called Ophelia Shine. The wax is sold wholesale in 12-bottle cases for $100 per case. There is a selling commission of $20 per case. The January direct materials, direct labor, and factory overhead costs are as follows: Cream base Natural oils Bottle (8-oz) DIRECT MATERIALS Cost Units Behavior per Case Variable 100 oz. Variable 30 oz. Variable 12 bottles Cost per Unit $0.02 0.30 0.50 Direct Materials Cost per Case $ 2.00 9.00 6.00 $17.00 Department Mixing Filling Cost Behavior Variable Variable DIRECT LABOR Time per Case 20 min. 5 25 min. Labor Rate per Hour $18.00 14.40 Direct Labor Cost per Case $6.00 120 $720 FACTORY OVERHEAD Cost Behavior Utilities Mixed Facility lease Fixed Equipment depreciation Fixed Supplies Fixed Total Cost $ 600 14,000 4,300 660 $19,560 During July of the current year, the management of Quivers Inc. asked the controller, Robin, to prepare August manufacturing and income statement budgets. Demand was expected to be 1,500 cases of jet wax at $100 per case for August. Inventory planning information is provided as follows: Finished Goods Inventory Cases Cost 300 12,000.00 Estimated finished goods inventory, August 1 Desired finished goods inventory, August 31 175 7,000.00 Materials Inventory Cream Base (oz.) Oils (oz.) Bottels (oz.) 250 290 600 Estimated materials inventory, August 1 1,000 360 Desired materials inventory, August 31 240 There was negligible work in process inventory assumed for either the beginning or end of the month; thus, none was assumed. In addition, there was no change in the cost per unit or estimated units per case operating data from January. Production Budget For the Month Ended August 31 Cases Expected cases to be sold 1,500 Plus desired ending inventory 175 Total units required 1,675 Less estimated beginning inventory 300 Total units to be produced 1,375 Requirement #7: Develop the direct labor cost budget. Quivers Inc. Direct Labor Cost Budget For the Month Ended August 31 Labor Units X Production Time / Hour = Total Mixing Filling Total Mixing Filling Hours required for production of: Ophelia Wax Product x Hourly rate Total direct labor cost Requirement #8: Develop the factory overhead cost budget. 8. Quivers Inc. Factory Overhead Cost Budget For the Month Ended August 31 Cost Cases Cost Total Fixed Variable Total Fixed Cost from Question 3] Variable Utility Cost $ 600 Utilities Facility Lease Equipment Depreciation Supplies Total factory overhead cost $ $ $ 14,000 4,300 660 S 19,560 Total Fixed Costs Utilities (see High-Low Method] Facility lease Equipment depreciation Supplies $ 500 $ 14,000 $ 4,300 $ 660 S 19.460