Required information

Problem $20-1$A $($Algo$)$ Manufacturing: Preparing production, materials, labor, and overhead budgets LO

P$1$

$[$The following information applies to the questions displayed below.$]$

Black Diamond Company produces snowboards. Each snowboard requires $3$ pounds of carbon fiber. Management reports

that $5,100$ snowboards and $6,100$ pounds of carbon fiber are in inventory at the beginning of the third quarter, and that

$151,000$ snowboards are budgeted to be sold during the third quarter. Management wants to end the third quarter with

$3,600$ snowboards and $4,100$ pounds of carbon fiber in inventory. Carbon fiber costs $$16$ per pound. Each snowboard

requires $0\mathrm{.}5$ hour of direct labor at $$21$ per hour. Variable overhead is budgeted at the rate of $$9$ per direct labor hour. The

company budgets fixed overhead of $$1,783,000$ for the quarter.

Problem $20-1$A $($Algo$)$ Part $3$

Prepare the direct labor budget for the third quarter.

Answer is complete but not entirely correct.