Lindburgh Company
Lindburgh Company manufactures toy airplanes.Information on Lindburgh Company's labor costs follow:
$\begin{array}{ll}
\text { Sales commissions } & \$ 5 \text { per plane } \
\text { Administration } & \$ 10,000 \text { per month } \
\text { Indirect factory labor } & \$ 3 \text { per plane } \
\text { Direct factory labor } & \$ 5 \text { per plane }
\end{array}$

The following information applies to the upcoming month of July for Lindburgh Company:
Budgeted production 1,200 unit
Budget sales 1,000 unit:

Refer to Lindburgh Company.What amount of budgeted labor cost would appear in the July selling,general,and administrative expense budget?

Question

Lindburgh Company
Lindburgh Company manufactures toy airplanes.Information on Lindburgh Company's labor costs follow:
$\begin{array}{ll}
\text { Sales commissions } & \$ 5 \text { per plane } \
\text { Administration } & \$ 10,000 \text { per month } \
\text { Indirect factory labor } & \$ 3 \text { per plane } \
\text { Direct factory labor } & \$ 5 \text { per plane }
\end{array}$

The following information applies to the upcoming month of July for Lindburgh Company:
Budgeted production                      1,200 unit
Budget sales                                    1,000 unit:

Refer to Lindburgh Company.What amount of budgeted labor cost would appear in the July selling,general,and administrative expense budget?

Quizplus · Accepted Answer

The selling, general, and administrative expense budget for July would include sales commissions and administration costs. Sales commissions are $5 per plane on 1,000 units, totaling $5,000, and administration costs are $10,000 per month. Therefore, the total is $5,000 + $10,000 = $15,000.

Lindburgh Company Lindburgh Company Manufactures Toy Airplanes The Following Information Applies to the Upcoming Month of July

Lindburgh Company
Lindburgh Company Manufactures Toy Airplanes The Following Information Applies to the Upcoming Month of July