# Question

J. Reutlinger Manufacturing Co. forecast October sales to be 45,000 units. Additional information follows:
Finished goods inventory, October 1 . . . . . . . . . . . . . . . . . . . . . . 5,000 units
Finished goods inventory desired, October 31 . . . . . . . . . . . . . . 4,000 units
Direct labor hours required in production:
Department Hours per Unit
Cutting ....... 0.25
Assembly...... 0.50
Direct laborers earn: Cutting, \$14 per hour; Assembly, \$12 per hour.
Prepare the following:
a. A production budget for October.
b. A direct labor budget for October.

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• CreatedMay 05, 2014
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