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Vandelay's plant has a capacity for 1,000,000 labor hours (DLH). The company has received order requests for 20,000 units of the Lloyd Braun and 12,000
Vandelay's plant has a capacity for 1,000,000 labor hours (DLH). The company has received order requests for 20,000 units of the Lloyd Braun and 12,000 units of the Newman.
To meet the demand for the Newman s t ale, how many direct labor hours are needed in total?
PER UNIT Direct Materials Direct Labor ($20/hr) Variable OH ($10/mhr) Fixed OH Total Prod Cost per Unit The Lloyd Braun 600 650 1,000 800 3,050 The Newman 750 1,000 1,150 1,000 3,900 Sales Price per Unit $4,000 $5,000
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