Question
Totem Incorporated manufactures and sells women's skirts. Each skirt (unit) requires 2.6 yards of cloth. Selected data from Totem's master budget for next quarter are
Totem Incorporated manufactures and sells women's skirts. Each skirt (unit) requires 2.6 yards of cloth. Selected data from Totem's master budget for next quarter are shown below:
| July | August | September | |
| Budgeted sales (in units) | 7,000 | 9,000 | 10,000 |
| Budgeted production (in units) | 8,000 | 10,500 | 14,000 |
Each unit requires 3.2 hours of direct labor, and the average hourly cost of Totem's direct labor is $12.96.
What is the cost of Totem Incorporated's direct labor in September?
Select one:
a. $580,608.00
b. $44,800.00
c. $940,800.00
d. $414,720.00
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International Marketing And Export Management
Authors: Gerald Albaum , Alexander Josiassen , Edwin Duerr
8th Edition
1292016922, 978-1292016924
