Alleyway Corp. manufactures two styles of leather bowling bag, the Strike and Turkey. Budgeted production levels...
Alleyway Corp. manufactures two styles of leather bowling bag, the Strike and Turkey. Budgeted production levels for October follow:
Two departments, Cutting and Sewing, produce the bowling bags. Direct labor hours needed for each style are as follows:
Hourly direct labor rates are $12 for the Cutting Department and $16 for Sewing
Required:
Determine Alleyway's budgeted direct labor cost for October. (Round your final answers to nearest whole dollar. Do not round your intermediate calculations.)
Homework Answers
Calculate direct labor cost
| Cutting | Sewing | |
| Production hour in Strike | 435 | 725 |
| Production Hour in Turkey | 630 | 1575 |
| Total production hour | 1065 | 2300 |
| Rate per hour | 12 | 16 |
| Budgeted direct labor cost | 12780 | 36800 |
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