Using the data below, estimate the direct labor costs per unit for 2021. Consider carefully the...
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Using the data below, estimate the direct labor costs per unit for 2021. Consider carefully the labor effort required, on average, to get one unit of sale. Selling price per unit is $70. Ending inventory each year is zero. Production capacity is #20,000 per year. Inflation is zero. It is a several week warranty. REVENUE Direct Materials Factory & Equipment Lease Utilities Selling and Administration Maintenance Legal Fees Direct Labour Patent Amortization Profit Warranty replacements (#) Year 2018 $896.000 $1.085,000 234,000 150,000 59,000 242.400 65.000 0 78,000 0 67,600 Year 2019 200 288,000 150,000 68,000 264,000 80,000 23,000 96,000 30,000 86,000 500 Year 2020 $1.204,000 324,000 150,000 74,000 277,600 123.000 11,000 108,000 30,000 106,400 800 Using the data below, estimate the direct labor costs per unit for 2021. Consider carefully the labor effort required, on average, to get one unit of sale. Selling price per unit is $70. Ending inventory each year is zero. Production capacity is #20,000 per year. Inflation is zero. It is a several week warranty. REVENUE Direct Materials Factory & Equipment Lease Utilities Selling and Administration Maintenance Legal Fees Direct Labour Patent Amortization Profit Warranty replacements (#) Year 2018 $896.000 $1.085,000 234,000 150,000 59,000 242.400 65.000 0 78,000 0 67,600 Year 2019 200 288,000 150,000 68,000 264,000 80,000 23,000 96,000 30,000 86,000 500 Year 2020 $1.204,000 324,000 150,000 74,000 277,600 123.000 11,000 108,000 30,000 106,400 800
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To estimate the direct labor costs per unit for 2021 we need to calculate the total direct labor cos... View the full answer
Related Book For
Managerial Accounting
ISBN: 9781260247787
17th Edition
Authors: Ray Garrison, Eric Noreen, Peter Brewer
Posted Date:
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