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Rodgers manufactures two products a and b

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Reference no: EM13952587

Rodgers manufactures two products A and B.The firm predicts a sales volume of 10,000 units for product A and ending finished goods inventory of 2000 units.These numbers for product B are 12000 and 3000 respectively. Rodgers currently has 7000 units of A in inventory and 9000 units of B

 the following raw material are required to manufacture these products

Raw material         cost per pound                      A                 B

x                                            $2.00                     2 pounds

y                                            $2.50                     1 pounds        1 pound

z                                            $1.25                                              3 pound

Product a requires three hours of cutting time and two hours of finishing time: B requires one hour and three hours receptively. The direct labor rate for cutting is $ 10 per hour and $ 18 per hour for finishing.

Required

1. Prepare a production budget in units

2.Prepare a materials usage budget in pounds and dollars

3.Prepare a direct labor budget in hours and dollars for product A

Reference no: EM13952587

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