Question

CCC Totals: Chassis Assembly 334,350 9,515,929 Final Assembly 381,650 16,899,022 CCC Totals 716,000 26,414,950 $ $ $ Direct labor hours Direct material Direct labor cost Variable manufacturing overhead Fixed manufacturing overhead Total manufacturing costs

1). Develop a year 2019 estimate for direct labor for each car model assuming that (a) a sedan and compact require 101 and 59 hours of direct labor, respectively; and (b) direct labor employees will be paid $39.50 per hour. In other words, complete the outlined cells for three direct labor rows in Exhibit 1-4.2: Direct labor cost-sedan (cells D20-G20); Direct labor costcompact (cells D29-G29); and Direct labor cost-total (cells E38-G38).

Answer 1

Particulars	Per unit	Chassis Assembly	Final Assembly	Total
Sedan(5950 Units)
Hours required		48	53	101
Total Hours	101	285600	315350	600950
Total Cost	3989.50	11281200	12456325	23737525
Compact(1950 Units)
Hours required		25	34	59
total hours	59	48750	66300	115050
Total Cost	2330.50	1925625	2618850	4544475

Particulars	Chassis Assembly	Final Assembly	Total
Hours required for Sedan	285600	315350	600950
Hours required for Compact	48750	66300	115050
Total hours			716000
total cost			28282000