Alleyway Corporation manufactures two styles of leather bowling bag, the Strike and Turkey. Budgeted production levels for October follow: Production Strike 2,300 bags Two departments, Cutting and Sewing, produce the bowling bags. Direct labor hours needed for each style are as follows: Turkey 3,500 bags Cutting 0.150 hour per bag Strike Turkey 0.200 hour per bag Hourly direct labor rates are $11 for the Cutting Department and $16 for Sewing. Required: Determine Alleyway's budgeted direct labor cost for October. Note: Round your final answers to nearest whole dollar. Do not round your intermediate calculations. Budgeted Direct Labor Cost $ Sewing 0.350 hour per bag 0.350 hour per bag Cutting $ Sewing

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Chapter1: Financial Statements And Business Decisions
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Alleyway Corporation manufactures two styles of leather bowling bag, the Strike and Turkey. Budgeted
production levels for October follow:
Production
Strike
2,300 bags
Two departments, Cutting and Sewing, produce the bowling bags. Direct labor hours needed for each style are
as follows:
Turkey
3,500 bags
Cutting
0.150 hour per bag
Strike
Turkey
0.200 hour per bag
Hourly direct labor rates are $11 for the Cutting Department and $16 for Sewing.
Required:
Determine Alleyway's budgeted direct labor cost for October.
Note: Round your final answers to nearest whole dollar. Do not round your intermediate calculations.
Budgeted Direct Labor Cost
$
Sewing
0.350 hour per bag
0.350 hour per bag
Cutting
$
Sewing
Transcribed Image Text:Alleyway Corporation manufactures two styles of leather bowling bag, the Strike and Turkey. Budgeted production levels for October follow: Production Strike 2,300 bags Two departments, Cutting and Sewing, produce the bowling bags. Direct labor hours needed for each style are as follows: Turkey 3,500 bags Cutting 0.150 hour per bag Strike Turkey 0.200 hour per bag Hourly direct labor rates are $11 for the Cutting Department and $16 for Sewing. Required: Determine Alleyway's budgeted direct labor cost for October. Note: Round your final answers to nearest whole dollar. Do not round your intermediate calculations. Budgeted Direct Labor Cost $ Sewing 0.350 hour per bag 0.350 hour per bag Cutting $ Sewing
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