Wyckam Manufacturing Inc. has provided the following information concerning its

Question

Wyckam Manufacturing Inc. has provided the following information concerning its manufacturing costs: Fixed Cost Direct materials Direct labor Supplies Utilities Cost per 5.60 0.10 $42,900 S 1,700 $14,800 $11,800 S 0.20 For example, utilities should be $1,700 per month plus $0.20 per machine-hour. The company expects to work 4,400 machine-hours in June. Note that the company's direct labor is a fixed cost. Required: Complete the company's planning budget for manufacturing costs for June. Wyckam Inc. Planning Budget for Costs For the Month Ended June 30 Direct materials Direct labor Supplies Utilities Total manufacturing cost

Explanation / Answer

Planning budget Direct materials 24640 =4400*5.6 Direct labor 42900 Supplies 440 Utilities 2580 =1700+(4400*0.2) Depreciation 14800 Insurance 11800 Total manufacturing cost 97160

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