prepapre a budget for lowell company

prepare a direct labor budget for lowell company

Prepare a production budget for lowell company by month for the first quarter of the year

Exercise 9-10 (Part Level Submission) Lowell company makes and sells artistic frames for pictures. The controller is responsible for preparing the master budget and has accumulated the following information for 2020. January 10,400 $50.70 Estimated unit sales Sales price per unit Direct labor hours per unit Wage per direct labor hour February 11,800 $48.40 2.0 $7 March 8,700 $48.40 1.5 $ 7 April 8,300 $48.40 1.5 98 May 8,300 $48.40 1.5 $8 Lowell has a labor contract that calls for a wage increase to 58 per hour on April 1. New labor-saving machinery has been installed and will be fully operational by March 1 Lowell expects to begin the year with 16,300 frames on hand and has a policy of carrying an end-of-month inventory of 100% of the following month's sales, plus 50% of the second following month's sales