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History Bookmarks Window Help 48% * ) Tue Jun 19 7:23 PM Alex E Safari ... Edit View . Q û ezto.mineducation.com a Home - alamo.edu McGraw-Hill Connect Chapter 8 Exercises + 8. value: 6.66 points 6.66 points Alleyway Corp. manufactures two styles of leather bowling bag, the Strike and Turkey. Budgeted production levels for October follow: Production Strike 2,400 bags Turkey 3,300 bags Two departments, Cutting and Sewing, produce the bowling bags. Direct labor hours needed for each style are as follows: Strike Turkey Cutting 0.05 hour per bag 0.25 hour per bag Sewing 0.2 hour per bag 0.5 hour per bag Hourly direct labor rates are $11 for the Cutting Department and $14 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.) Cutting Sewing Budgeted Direct Labor Cost References eBook & Resources 4 19 = Iwi DDÜT popcorntime_ap

Explanation / Answer

Budgeted direct labour cost of cutting= total hours * labour rate per hour

Total cutting hours= (0.05 hours*2400 bags) + (0.25 hours *3300 bags)= 120 hours + 825 hours= 945 hours

Rate per hour = $11 per hours

Labour cost = 945 hours * $ 11= $10395

Budget labour cost of sewing= total labour hours * labour rates per hour

Total hours =( 0.2 hours*2400 bags)+(0.5 hours * 3300 bags)

480 hours + 1650 hours= $2130 hours

Rate per hour = $14 per hour

Budget labour cost = 2130 hours * $ 14 per hour = $29820

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