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A business has the following budgeted financial data for

Question - A business has the following budgeted financial data for next year:

January February

Production units 8,000 9,000

Direct labor hours per unit 0.5 0.5

Straight time man hours 4,800 4,100

Straight time wage rate per hour $16 $16

Overtime wage rate (time and a half) $24 $24

Assume the business plans to pay all straight time man hours budgeted regardless of demand.

Determine the total labor cost for January based on the data above.

Determine the total labor cost for February based on the data above.

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Accounting Basics: A business has the following budgeted financial data for

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