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if each unit requires 2 hours of labor, and each hour of labor costs $20, what is the labor budget to produce 50,000 units

Respuesta :

The labor budget for the month to produce 50,000units will be will be $20,00,000.

Given;

Production = 50,000

direct labot = 2 hrs

labor charge = $20

Preparation of direct labor budget for 50,000 units

Production = 50,000

multiply by labor time = 2 hrs

Total labor hour needed = 100,000

multiply by labor time  = $20

Budgeted direct labor cost = $20,00,000

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