The production manager of Rordan Corporation has submitted the following quarterly production forecast for the upcoming fiscal year: Units to be produced 1st Quarter 12,000 2nd Quarter 3rd Quarter 4th Quarter 9,000 7,200 11,300 Each unit requires 0.65 direct labor-hours, and direct laborers are paid $20.00 per hour. Required: 1. Prepare the company's direct labor budget for the upcoming fiscal year. (Round "Direct labor time per unit (hours)" answers to 2 decimal places.)
Master Budget
A master budget can be defined as an estimation of the revenue earned or expenses incurred over a specified period of time in the future and it is generally prepared on a periodic basis which can be either monthly, quarterly, half-yearly, or annually. It helps a business, an organization, or even an individual to manage the money effectively. A budget also helps in monitoring the performance of the people in the organization and helps in better decision-making.
Sales Budget and Selling
A budget is a financial plan designed by an undertaking for a definite period in future which acts as a major contributor towards enhancing the financial success of the business undertaking. The budget generally takes into account both current and future income and expenses.
![The production manager of Rordan Corporation has submitted the following quarterly production forecast for the upcoming fiscal year:
4th Quarter
11,300
Units to be produced
1st Quarter 2nd Quarter 3rd Quarter
12,000
7,200
9,000
Each unit requires 0.65 direct labor-hours, and direct laborers are paid $20.00 per hour.
Required:
1. Prepare the company's direct labor budget for the upcoming fiscal year. (Round "Direct labor time per unit (hours)" answers to 2
decimal places.)
Direct labor time per unit (hours)
Total direct labor-hours needed
Direct labor cost per hour
Total direct labor cost
1st Quarter
Rordan Corporation
Direct Labor Budget
2nd Quarter
3rd Quarter 4th Quarter
Year](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F3a81a943-a615-4ade-a080-8af539429910%2F1be11454-4e4d-408b-ba1a-da96f56891e4%2F2p90d0e_processed.png&w=3840&q=75)
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