Alleyway Corporation manufactures two styles of leather bowling bag, the Strike and Turkey. Budgeted production levels ollow: Strike 2,200 bags Turkey 3,450 bags Two departments, Cutting and Sewing, produce the bowling bags. Direct labor hours needed for each style are as follow Production

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
Publisher:Libby
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 O
follow:
Strike
2,200 bags
Turkey
3,450 bags
Two departments, Cutting and Sewing, produce the bowling bags. Direct labor hours needed for each style are as follows:
Production
Cutting
Sewing
0.350 hour per bag.
Strike
Turkey
0.050 hour per bag
0.200 hour per bag
0.550 hour per bag
Hourly direct labor rates are $10 for the Cutting Department and $15 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
Cutting
Sewing
Transcribed Image Text:Alleyway Corporation manufactures two styles of leather bowling bag, the Strike and Turkey. Budgeted production levels for O follow: Strike 2,200 bags Turkey 3,450 bags Two departments, Cutting and Sewing, produce the bowling bags. Direct labor hours needed for each style are as follows: Production Cutting Sewing 0.350 hour per bag. Strike Turkey 0.050 hour per bag 0.200 hour per bag 0.550 hour per bag Hourly direct labor rates are $10 for the Cutting Department and $15 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 Cutting Sewing
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