Smith Company Makes and Sells a Single Product Called a Pod

question 77

Multiple Choice

Smith Company makes and sells a single product called a Pod. Each Pod requires 1.4 hours of labor at a labor rate of $9.60 per hour. Smith Company needs to prepare a Direct Labor Budget for the second quarter of the year.
-In June the company has budgeted to produce 22,000 Pods. The finished goods inventory on June 1 and June 30 were budgeted at 500 and 800 units, respectively. Budgeted direct labor costs incurred in June would be:

• A) $470,400
• B) $295,680
• C) $240,000
• D) $211,200

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Definitions:

Source A

A specific origin from which materials, services, or information are obtained.

Source B

This does not appear to represent a standard key term within common academic or technical contexts. Therefore, NO.

Capacity

The maximum amount that something can contain or produce, often used in reference to production and manufacturing facilities, systems, and services.

Demand

The quantity of a good or service that consumers are willing and able to purchase at various prices during a specified time period.