3. Kouba Corporation is working on its direct labor budget for the next two months. Each unit ofoutput requires 0.23 direct labor-hours. The direct labor rate is $11.20 per direct labor-hour. Theproduction budget calls for producing 4,000 units in April and 3,400 units in May. The companyguarantees its direct labor workers a 40-hour paid work week. With the number of workerscurrently employed, that means that the company is committed to paying its direct labor workforce for at least 920 hours in total each month even if there is not enough work to keep thembusy.Required:Construct the direct labor budget for the next two months.

Given that the company is committed to pay for at least 920 hours a month, if direct labor hours…

Answered: 3. Kouba Corporation is working on its…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Rubi, Inc. has the following production data for a new deluxe product in their quarterly budget: Planned Production in Units: . • May: 850 ⚫ June: 830 . July: 1,300 Rubi also produces each month 6,600 units of its standard product. It takes 2 direct labor hours to produce each standard unit and 6 direct labor hours to produce each deluxe unit. Rubi's cost per direct labor hour is $20. Direct labor cost for July would be budgeted at: Select one: O A. $420,000 O B. $948,000 O C. $891,600 OD. $363,600 O E. $316,000
The production manager of Rordan Corporation prepared the following quarterly production forecast for next year: Units to be produced 1st Quarter 10,200 2nd Quarter 3rd Quarter 4th Quarter 7,500 8,100 10,400 Each unit requires 0.45 direct labor-hour, and direct laborers are paid $14.00 per hour. Required: 1. Prepare a direct labor budget for next year. Note: Round "Direct labor time per unit (hours)" answers to 2 decimal places. Direct labor time per unit (hours) Total direct labor-hours needed Direct labor cost per hour Total direct labor cost Rordan Corporation Direct Labor Budget 1st Quarter 2nd Quarter 3rd Quarter 4th Quarter Year
The production manager of Rordan Corporation prepared the following quarterly production forecast for next year: Units to be produced 1st Quarter 2nd Quarter 3rd Quarter 10,600 8,500 7,000 4th Quarter 11,100 Each unit requires 0.35 direct labor-hour, and direct laborers are paid $20.00 per hour. Required: 1. Prepare a direct labor budget for next year. Note: Round "Direct labor time per unit (hours)" answers to 2 decimal places. Direct labor time per unit (hours) Total direct labor-hours needed Direct labor cost per hour Rordan Corporation Direct Labor Budget 1st Quarter 2nd Quarter 3rd Quarter 4th Quarter Year
XYZ Company is preparing its direct materials budget. Budgeted production for January, February, March, and April are 5000 units, 7000 units, 6500 units, and 8000 units, respectively. To produce one unit of finished product, three kilograms of direct materials are needed. Direct materials inventory at the beginning of any month should be 20% of that month's production needs. Each kilogram of direct material costs the company $20. What is the total cost of direct materials to be purchased in February? Select one: a. $393,300 O b. $351,900 O c. $372,600 O d. None of the given answers O e. $414,000
The manufacturing division manager of Davison Enterprises has submitted the following production forecast (in units) for each quarter of the next fiscal year. The plant produces seats for motorcycles: Third Quarter First Quarter 10,500 Second Quarter 9,900 Fourth Quarter Units to be produced 10,000 10,400 Each unit requires 0.50 direct labour-hours, and employees are paid $9 per hour. Required: 1. Prepare the company's direct labour budget for the upcoming fiscal year, assuming that the direct labour workforce is adjusted each quarter to match the number of hours required to produce the forecast number of units. Davison Enterprises Direct Labour Budget First Quarter Second Quarter Third Quarter Fourth Quarter Year Units to be produced Direct labour time per unit (hours) Total direct labour hours needed Direct labour cost per hour Total direct labour cost
Zortfyon, SA produces 3,800 units of its standard product each month, and each requires 2 direct labor hours to produce, which costs them $17 per hour. They also have a deluxe product that requires 4 direct labor hours to produce, at the same hourly rate. The production budget in units for the deluxe model for the next 3 months is as follows: May: 520 June: 1,460 July: 540 What should Zortfyon's budgeted direct labor cost for July be? Select one: A. $165,920 B. $295,120 C. $147,560 D. $293,760 E. $357,680
The prôductión manager of Rordan Corporation has submitted the following quarterly production forecast for the upcoming fiscal year: 1st Quarter 8,600 2nd Quarter 6,500 3rd Quarter 7,300 4th Quarter 8, 200 Units to be produced Each unit requires 0.75 direct labor-hours, and direct laborers are paid $12.00 per hour. Required: 1. Prepare the company's direct labor budget for the upcoming fiscal year. (Round "Direct labor time per unit (hours)" answers to 2 decimal places.) Rordan Corporation Direct Labor Budget 1st Quarter 2nd Quarter 3rd Quarter 4th Quarter Year Direct labor time per unit (hours) Total direct labor-hours needed Direct labor cost per hour Total direct labor cost ... 田 0 DELL ...
Ultravision Incorporated anticipates sales of $270,000 from January through April. Materials will represent 50 percent of sales, and because of level production, material purchases will be equal for each month during the four months of January, February, March, and April. Materials are paid for one month after the month purchased. Materials purchased in December of last year were $23,000 (half of $46,000 in sales). Labor costs for each of the four months are slightly different due to a provision in the labor contract in which bonuses are paid in February and April. The labor figures are: January $ 13,000 February 16,000 March 13,000 April 18,000 Fixed overhead is $9,000 per month. Prepare a schedule of cash payments for January through April.
Pooler Corporation is working on its direct labor budget for the next two months. Each unit of output requires 0.75 direct labor-hours. The direct labor rate is $11.80 per direct labor-hour. The production budget calls for producing 6,700 units in April and 6,500 units in May. The company guarantees its direct labor workers a 40-hour paid work week. With the number of workers currently employed, that means that the company is committed to paying its direct labor work force for at least 5,480 hours in total each month even if there is not enough work to keep them busy. What would be the total combined direct labor cost for the two months? Multiple Choice $122,189.00 $116,820.00 $129,328.00 $134,225.00
2. Each unit requires direct labor of 4.1 hours. The labor rate is $13.75 per hour and next year’s production is estimated at 75,000 units. What is the amount to be included in next year’s direct labor budget?
The following details taken from the books of DiDi Sdn Bhd for the year ending 31 December 2020. DiDi Sdn Bhd Statement Profit or Loss for the year ending 31 December 2020 (extract) RM RM Gross profit 44,700 Add : Discount received 410 Profit on sale of van 620 1,030 45,730 Less: Expenses Motor expenses 1,940 Wages 17,200 General expenses 830 Bad debts 520 Increase in allowance for doubtful debts 200 Depreciation : van 1,800 22,490 23,240 Statement of Financial Position as at 31 December 2019 2020 RM RM RM RM Non-current Assets Vans at cost 15,400 8,200 less Depreciation (5,300) (3,100) 10,100 5,100 Current Assets Inventory 18,600 24,000 Trade accounts receivables less provision*…
Whitmer Corporation is working on its direct labor budget for the next two months. Each unit of output requires 0.04 direct labor-hours. The direct labor rate is $9.10 per direct labor-hour. The production budget calls for producing 4,500 units In February and 5,000 units In March. Required: Prepare the direct labor budget for February and March, assuming that the direct labor work force is fully adjusted to the total direct labor-hours needed each month. (Round "labor-hours per unit" & "labor cost per hour" answers to 2 decimal places.) 12 Required production in units Direct labor-hours per unit Total direct labor-hours needed Direct labor cost per hour Total direct labor cost February March

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