Question

Wakanda Corporation is working on its direct labor budget for the next two months. Each unit of output requires 0.6 direct labor-hours. The direct labor rate is $9 per direct labor-hour. The production budget calls for producing 4,000 units in March and 5,000 units in April. What would be the total combined direct labor cost paid to workers by Morie for the two months

Answer 1

See below

Step-by-step explanation:

Required production in units 4,000 5,000

Direct labor hour per unit 0.6 0.6

Total direct labour hours needed 2,400 3,000

Direct labor cost per hour

$9 $9

Total direct labor cost

$21,600 $27,000

Therefore, the total combined direct labor cost paid to workers by Morie for the two months is $48,600