Levi Strauss & Co.manufactures slacks and jeans under a variety of brand names, such as Dockers® and 501 Jeans ®. Slacks and jeans are assembled by a variety of different sewing operations. Assume that the sales budget for Dockers and 501 Jeans shows estimated sales of 20,500 and 44,200 pairs, respectively, for March 2012. The finished goods inventory is assumed as follows:

Assume the following direct labor data per 10 pairs of Dockers and 501 Jeans for four different sewing operations:

a. Prepare a production budget for March. Prepare the budget in two columns: Dockers ® and 501 Jeans ®.
b. Prepare the March direct labor cost budget for the four sewing operations, assuming a $13 wage per hour for the inseam and outerseam sewing operations and a $15 wage per hour for the pocket and zipper sewing operations. Prepare the direct labor cost budget in four columns: inseam, outerseam, pockets, and zipper.

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Dockers 501 Jeans 1,590 2,390 March 1 estimated inventory March 31 desired inventory 980 480 Direct Labor per 10 Pairs 501 Jeans 12 minutes 15 Dockers 18 minutes Inseam Outerseam Pockets Zipper Total 21 12 57 minutes 6 42 minutes