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Sunland Toys is planning to sell 188 action figures and to produce 180 action figures in July. Each action figure requires 94 grams of
Sunland Toys is planning to sell 188 action figures and to produce 180 action figures in July. Each action figure requires 94 grams of plastic and a half hour of direct labor. The cost of the plastic used in each action figure is $5 per 94 grams. Employees of the company are paid at a rate of $15 per hour. Manufacturing overhead is applied at a rate of 120% of direct labor costs. Sunland Toys has 84600 grams of plastic in its beginning inventory and wants to have 75200 grams in its ending inventory. What is the amount of budgeted direct labor cost for the month of July? $2700. $2820. O $1350. O $1410.
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