LBC Corporation makes and sells a product called Product WZ. Each unit of Product WZ requires 2.3 hours of direct labor at the rate of $19.00 per direct labor-hour. Management would like you to prepare a Direct Labor Budget for June.The budgeted direct labor cost per unit of Product WZ would be:

Question

Quizplus · Accepted Answer

The direct labor cost per unit is calculated by multiplying the hours of direct labor required per unit by the rate per direct labor-hour. Thus, 2.3 hours * $19.00/hour = $43.70.

LBC Corporation Makes and Sells a Product Called Product WZ