Direct Labor Budget Evans Company produces asphalt roofing materials. The production budget in bundles for Evans' most popular weight of asphalt shingle is shown for the following months: Units March 4,200 April 13,650 May 15,120 June 17,850 Each bundle produced requires (on average) 0.40 direct labor hours. The average cost of direct labor is $21 per hour. Required: Prepare a direct labor budget for March, April, and May, showing the hours needed and the direct labor cost for each month and in total. Do not include a multiplication symbol as part of your answer. Evans Company Direct Labor Budget For March, April, and May March April May Total Units to be produced Direct labor time per unit (hours) Total hours needed Cost per hour $ $ $ $ Total direct labor cost $ $ $ $ Check My Work
Master Budget
A master budget can be defined as an estimation of the revenue earned or expenses incurred over a specified period of time in the future and it is generally prepared on a periodic basis which can be either monthly, quarterly, half-yearly, or annually. It helps a business, an organization, or even an individual to manage the money effectively. A budget also helps in monitoring the performance of the people in the organization and helps in better decision-making.
Sales Budget and Selling
A budget is a financial plan designed by an undertaking for a definite period in future which acts as a major contributor towards enhancing the financial success of the business undertaking. The budget generally takes into account both current and future income and expenses.
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Direct Labor Budget
Evans Company produces asphalt roofing materials. The production budget in bundles for Evans' most popular weight of asphalt shingle is shown for the following months:
Units March 4,200 April 13,650 May 15,120 June 17,850 Each bundle produced requires (on average) 0.40 direct labor hours. The average cost of direct labor is $21 per hour.
Required:
Prepare a direct labor budget for March, April, and May, showing the hours needed and the direct labor cost for each month and in total. Do not include a multiplication symbol as part of your answer.
Evans Company Direct Labor Budget For March, April, and May March April May Total Units to be produced Direct labor time per unit (hours) Total hours needed Cost per hour $ $ $ $ Total direct labor cost $ $ $ $
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