Direct Labor Cost Budget Rip Court Racket Company manufactures two types of tennis rackets, the...
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Accounting
Direct Labor Cost Budget
Rip Court Racket Company manufactures two types of tennis rackets, the Junior and Pro Striker models. The production budget for March for the two rackets is as follows:
Junior | Pro Striker | |
Production budget | 9,500 units | 19,200 units |
Both rackets are produced in two departments, Forming and Assembly. The direct labor hours required for each racket are estimated as follows:
Forming Department | Assembly Department | |
Junior | 0.25 hour per unit | 0.5 hour per unit |
Pro Striker | 0.3 hour per unit | 0.65 hour per unit |
The direct labor rate for each department is as follows:
Forming Department | $15 per hour |
Assembly Department | $8 per hour |
Prepare the direct labor cost budget for March.
Forming Department | Assembly Department | |
Hours required for production: | ||
Junior | fill in the blank 1 | fill in the blank 2 |
Pro Striker | fill in the blank 3 | fill in the blank 4 |
Total hours required | fill in the blank 5 | fill in the blank 6 |
Hourly rate | x$fill in the blank 7 | x$fill in the blank 8 |
Total direct labor cost | $fill in the blank 9 | $fill in the blank 10 |
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