Production planned-batch-related overhead

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Reference no: EM13824099

Borck's entrerprises has the following production planned for the first quarter of next year:

Jan 50,000

Feb 45,000

March 55,000

Each unit requires 3 hours of direct labor time at $12 per hour. Unit-related overhead is $10 per machine hour and each unit requires 1/2 machine hour. Batch-related overhead is $3,000 per batch with a batch-size of 1,000 units. Facility overhead, including depreciation of $17,000, is $59,000 per month. Prepare the direct labor and manufacturing overhead budget for January.

Reference no: EM13824099

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