. Bonnie has determined the following labor costs associated with her business,

Question

. Bonnie has determined the following labor costs associated with her business, Bonnie Manufacturing, Inc: Sales commissions $5 per container Administration $10,000 per month Indirect factory labor $3 per container Direct factory labor $5 per container The following information applies to the upcoming month of April: Budgeted production 1,200 containers Budget sales 1,000 containers a) What amount of budgeted labor cost would appear in the April selling, general, and administrative expense budget? 5 Points b) What would be Bonnie's budgeted factory labor cost for April? 5 Points 2. Furthermore, Bonnie has the following budget information for April: Cash collections $876,000 April 1 cash balance 23,000 Cash disbursements 978,600

Explanation / Answer

Hi, Please find the answer as follows: Part A: Sales Commission = 1000*5 = 5000 + Administration = 10000 Labor Cost in Selling general, and administrative expense budget = 15000 Part B: = (5+3)*1200 = 9600 Thanks.

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