What is the total cost of production per week

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The management team for Buddy's Bats is considering two locations for a plant to manufacture wooden baseball bats. The fixed setup costs for both plants are identical.

Plant A can produce 550 bats per week. The plant works one 8 hour shift per day with 8 staff. The plant works 5 days per week. The average wage is $22 per hour. The plant would use 600 units of maple and can buy maple at $4 per unit. Based on location and staffing levels, the plant would be assigned an overhead allocation of $1000 per week.

What is the total cost of production per week for Plant A? Answer in whole numbers

Reference no: EM132791358

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