Seemore Company manufactures binoculars. The actual costs for 2013 and 2014 were as follows:

	2013		2014
Direct materials:

	Plastic case	$ 8.00		$ 7.60
	Lens set	34.00		34.40

Direct labor	64.00	(1.6 hours)	60.00	(1.5 hours)
Indirect manufacturing costs:

	Variable	16.00		14.20
	Fixed	4.00	(100,000 units)	3.80	(120,000 units)

Beginning in 2014, Seemore implemented a continuous improvement program that required a first-year cost reduction target of a 7 percent reduction of the 2013 base.

Seemore's continuous improvement target for direct labor in 2014 was:

Seemore Company manufactures binoculars. The actual costs for 2013 and 2014 were as follows:

	2013		2014
Direct materials:

	Plastic case	$ 8.00		$ 7.60
	Lens set	34.00		34.40

Direct labor	64.00	(1.6 hours)	60.00	(1.5 hours)
Indirect manufacturing costs:

	Variable	16.00		14.20
	Fixed	4.00	(100,000 units)	3.80	(120,000 units)

Beginning in 2014, Seemore implemented a continuous improvement program that required a first-year cost reduction target of a 7 percent reduction of the 2013 base.

Seemore's continuous improvement target for direct labor in 2014 was: