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Johnson last month (December) sales were 20,000 units @ $50 The company estimates an increase of 1.5% in sales for January. An increase of 200 units for February (compared to January) and a reduction of 100 units for March (compared to February). The selling price is not expected to change. April sales projections are a 5% increase from December sales. INVENTORY POLICY FINISHED GOODS - maintain an ending inventory equal to 30% of next month sales December finished goods ending inventory was 7,000 units DIRECT MATERIALS - maintain an ending inventory equal to 40% of next month production April production is estimated at 21,000 Materials cost is $10 per pound. Each unit requires 25 pounds of materials and actual inventory is 1,600 pounds Labor Cost is $14 per hour and each unit requires 30 minutes of labor. Fixed overhead is $62,517 monthly and variable overhead is 120% of direct labor cost. OTHER EXPENSES Selling salaries are $40,000 monthly, commissions on sales are 5% and administrative expenses are $70,000 monthly CALCULATE TOTAL DIRECT LABOR COST IN JANUARY PRESENT YOUR ANSWER ROUNDED TO ZERO DECIMAL PLACES DON'T USE COMMA SEPARATORS Johnson last month (December) sales were 20,000 units @ $50. The company estimates an increase of 1.5% in sales for January. An increase of 200 units for February (compared to January) and a reduction of 100 units for March (compared to February). The selling price not expected to change. April sales projections are a 5% increase from December sales. INVENTORY POLICY FINISHED GOODS - maintain an ending inventory equal to 30% of next month sales December finished goods ending inventory was 7,000 units DIRECT MATERIALS - maintain an ending inventory equal to 40% of next month production April production is estimated at 21,000 Materials cost is $10 per pound. Each unit requires 25 pounds of materials and actual inventory is 1,600 pounds Labor Cost is $14 per hour and each unit requires 30 minutes of labor. Fixed overhead is $62,517 monthly and variable overhead is 120% of direct labor cost. OTHER EXPENSES Selling salaries are $40,000 monthly, commissions on sales are 5% and administrative expenses are $70,000 monthly CALCULATE PROJECTED COST OF GOODS SOLD PRESENT YOUR ANSWER ROUNDED TO ZERO DECIMAL PLACES DON'T USE COMMA SEPARATORS Johnson last month (December) sales were 20,000 units @ $50. The company estimates an increase of 1.5% in sales for January. An increase of 200 units for February (compared to January) and a reduction of 100 units for March (compared to February). The selling price is not expected to change. April sales projections are a 5% increase from December sales. INVENTORY POLICY FINISHED GOODS - maintain an ending inventory equal to 30% of next month sales December finished goods ending inventory was 7,000 units DIRECT MATERIALS - maintain an ending inventory equal to 40% of next month production April production is estimated at 21,000 Materials cost is $10 per pound. Each unit requires 25 pounds of materials and actual inventory is 1,600 pounds Labor Cost is $14 per hour and each unit requires 30 minutes of labor. Fixed overhead is $62,517 monthly and variable overhead is 120% of direct labor cost. OTHER EXPENSES Selling salaries are $40,000 monthly, commissions on sales are 5% and administrative expenses are $70,000 monthly CALCULATE TOTAL OVERHEAD IN MARCH PRESENT YOUR ANSWER ROUNDED TO ZERO DECIMAL PLACES DON'T USE COMMA SEPARATORS