The LFG Corporation Makes and Sells a Single Product, Product

question 140

Multiple Choice

The LFG Corporation makes and sells a single product, Product T. Each unit of Product T requires 1.4 direct labor-hours at a rate of $9.80 per direct labor-hour. The direct labor workforce is fully adjusted each month to the required workload. LFG Corporation needs to prepare a Direct Labor Budget for the second quarter of next year. The company has budgeted to produce 24,000 units of Product T in June. The finished goods inventories on June 1 and June 30 were budgeted at 600 and 800 units, respectively. Budgeted direct labor costs for June would be:

• A)$332,024
• B)$329,280
• C)$235,200
• D)$326,536

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Definitions:

Blue-Collar Worker

An employee who performs manual labor, often in industries like manufacturing, construction, and maintenance, usually paid hourly.

Highly Paid CEO

An executive officer of a company who receives compensation significantly above the average for their role, often reflecting the size, profitability, and complexity of the organization.

Overtime Hours

Time worked by employees beyond their regular working hours, typically eligible for additional compensation.

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A medical specialty focused on the immediate decision making and action necessary to prevent death or further disability in emergency medical situations.