Direct Labor Budget Hammonds Hammocks produces and sells top-of-the-line Brazilian-style hammocks. The company prepared a...
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Accounting
Direct Labor Budget
Hammonds Hammocks produces and sells top-of-the-line Brazilian-style hammocks. The company prepared a production budget for the second quarter of the year which revealed that required production is 15,000 hammocks for April, 12,500 for May, and 12,500 for June. Each hammock requires 3 hours of direct labor at an average cost of $12 per hour (including all fringe benefits and taxes).
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Prepare Hammonds Hammock's direct labor budget for the second quarter.
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