Assume that the production manager has provided you with the following production budget: Production (units) Mar 52,500

Assume that the production manager has provided you with the following production budget:

 

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Production (units) Mar 52,500 Apr 55,500 May 58,500 Drones Ltd. pays its employees $11 per direct labour hour. The company pays 75% of the direct labour costs in the month of production and 25% in the month following the production. Each unit of Skyview requires 3 direct labour hours to produce. Compute the following (show workings using a direct labour budget or other means) : (i) Budgeted Direct labour hours for the month of Apr 2021. (ii) Budgeted Direct labour cost ($) for the month of May 2021. (iii) Expected Total cash payments for the month of Apr 2021. (iv) Expected Total cash payments for the month of May 2021. (1.5 marks) (2.5 marks) (3.5 marks) (2.5 marks) Production (units) Mar 52,500 Apr 55,500 May 58,500 Drones Ltd. pays its employees $11 per direct labour hour. The company pays 75% of the direct labour costs in the month of production and 25% in the month following the production. Each unit of Skyview requires 3 direct labour hours to produce. Compute the following (show workings using a direct labour budget or other means) : (i) Budgeted Direct labour hours for the month of Apr 2021. (ii) Budgeted Direct labour cost ($) for the month of May 2021. (iii) Expected Total cash payments for the month of Apr 2021. (iv) Expected Total cash payments for the month of May 2021. (1.5 marks) (2.5 marks) (3.5 marks) (2.5 marks)

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i To determine the budgeted direct labor hours for April 2021 we need to calculate the total direct labor hours required to produce 55500 units of Sky... View the full answer