The management of Nicto Company plans to have an inventory at the end of each month equal to 25% of the next month's sales. Budgeted sales in units over the next three months are 75,000 in October, 115,000 in November, and 95,000 in December. Budgeted production for November would be:

95,000 units.

110,000 units.

Dakota Products has a production budget as follows: May, 12,500 units; June, 15,500 units; and July, 20,500 units. Each unit requires 4 pounds of raw material and 3 direct labor hours. Dakota desires to keep an inventory of 10% of the next months requirements on hand. On May, 1 there were 5,000 pounds of raw material in inventory. Direct labor hours required in May would be:

50,000 hours

37,500 hours

Irwin Company has budgeted direct labor hours for the coming three months as follows: July, 5,900 hours; August, 7,500 hours; and September, 7,700 hours. Manufacturing overhead is budgeted at $12,700 per month plus $2.70 per direct labor hour. What is the budgeted manufacturing overhead for August?

$32,950

$12,700

Waggoner Company has a cash balance of $44,000 on April 1. The company is required to maintain a cash balance of $25,000. During April expected cash receipts are $174,000. Expected cash disbursements during the month total $200,800. During April the company will need to borrow:

$7,800.

$26,800.

Mochel Company employs a standard cost system in which direct materials inventory is carried at standard cost. The company has established the following standard for the direct labor costs of one unit of product:

Standard Hours	Standard Rate	Standard Cost
1.3 hours	$21.10/hour	$27.43

The total factory wages for June were $491,520, 90 percent of which were for direct labor. The company manufactured 16,000 units of product during June using 20,480 direct labor hours. The direct labor rate variance for June is: (Do not round intermediate calculations.)

$10,240 unfavorable.

$59,392 unfavorable.

Houghton Company maintains warehouses that stock items carried by its e-retailer clients. When one of Houghtons clients receives an order from an online customer, the order is forwarded to Houghton. Houghton then pulls the item from the warehouse, packs it and ships it to the customer. Houghton uses a predetermined variable overhead rate based on direct labor-hours. According to the companys records, 0.04 direct labor-hours are required to fulfill an order for one item and the variable overhead rate is $6.20 per direct-labor hour. During July, Houghton shipped 210,000 orders using 8,000 direct labor-hours. The company incurred a total of $48,800 in variable overhead costs. The variable overhead rate variance during July was:

$800 favorable.

$2,480 unfavorable.