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Prepare quarterly direct labor budgets for roehler industrial for 2012 using the information from problem 10-8. It takes 2.0 hours of direct labor to produce
Prepare quarterly direct labor budgets for roehler industrial for 2012 using the information from problem 10-8. It takes 2.0 hours of direct labor to produce each finished unit of product. Direct labor costs are $25 per hour. each employee can work 450 hours per week. The solutions for 10-8 are Quarter 1 Quarter 2 Quarter 3 Quarter 4 Year Units to be produced 270000 246000 294000 228000 1038000 Cost of raw material per unit $5 $5 $5 $5 $5 Cost of raw material needed for production $1,350,000 $1,230,000 $1,470,000 $1,140,000 $5,190,000 Add: Desired ending inventory of raw material $246,000 $294,000 $228,000 $282,000 $282,000 Total material needed $1,596,000 $1,524,000 $1,698,000 $1,422,000 $5,472,000 Less: Beginning inventory of raw material $270,000 $246,000 $294,000 $228,000 $270,000 Required raw material purchases $1,326,000 $1,278,000 $1,404,000 $1,194,000 $5,202,000
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