Use the information below to answer the following question(s).Samson Inc.expects to sell 10,000 barbells for $18.00 each.Direct materials costs are $5.00, direct manufacturing labour is $6.00, and manufacturing overhead is $2.50 per barbell.Each barbell requires 6 kilograms (kg)of material which is all added at the start of production.The units in work-in-process beginning and ending inventory were half complete as to direct labour and manufacturing overhead costs; the units in beginning inventory are completed before new units are started..Each barbell requires one-quarter hour of direct labour, and manufacturing overhead is allocated based on direct labour hours.Marketing costs are $2.00 per barbell.The following inventory levels are expected to apply to 2019:

-Shamokin Manufacturing produces two products, Big and Bigger.Shamokin expects to sell 10,000 units of product Bigger and to have an inventory of 2,000 units of Bigger on hand at the end of the period.Currently, Shamokin has 800 units of Bigger on hand.Bigger requires two labour operations, molding and polishing.Each unit of Bigger requires one hour of molding and two hours of polishing.The direct labour rate for molding is $20 per molding hour and the direct labour rate for polishing is $25 per polishing hour.The expected number of hours of direct labour for Bigger is

Question

Use the information below to answer the following question(s).Samson Inc.expects to sell 10,000 barbells for $18.00 each.Direct materials costs are $5.00, direct manufacturing labour is $6.00, and manufacturing overhead is $2.50 per barbell.Each barbell requires 6 kilograms (kg)of material which is all added at the start of production.The units in work-in-process beginning and ending inventory were half complete as to direct labour and manufacturing overhead costs; the units in beginning inventory are completed before new units are started..Each barbell requires one-quarter hour of direct labour, and manufacturing overhead is allocated based on direct labour hours.Marketing costs are $2.00 per barbell.The following inventory levels are expected to apply to 2019:
 
-Shamokin Manufacturing produces two products, Big and Bigger.Shamokin expects to sell 10,000 units of product Bigger and to have an inventory of 2,000 units of Bigger on hand at the end of the period.Currently, Shamokin has 800 units of Bigger on hand.Bigger requires two labour operations, molding and polishing.Each unit of Bigger requires one hour of molding and two hours of polishing.The direct labour rate for molding is $20 per molding hour and the direct labour rate for polishing is $25 per polishing hour.The expected number of hours of direct labour for Bigger is

Quizplus · Accepted Answer

To produce 10,000 units of Bigger, and with 800 units already on hand, Shamokin needs a total of 10,800 units of Bigger. Each unit of Bigger requires 1 hour of molding and 2 hours of polishing. Therefore, Shamokin needs:
Molding hours: (10,800 units) x (1 hour per unit) = 10,800 hours
Polishing hours: (10,800 units) x (2 hours per unit) = 21,600 hours

To have 10,800 total units of Bigger, Shamokin needs to produce 10,000 units and have 2,000 units left over from the previous period. Therefore, Shamokin needs to produce (10,800 - 2,000) = 8,800 units of Bigger during the period.

Since each unit of Bigger requires 1 hour of molding, Shamokin needs (8,800 hours) of molding hours. Similarly, since each unit of Bigger requires 2 hours of polishing, Shamokin needs (8,800 units x 2 hours/unit) = 17,600 hours of polishing.

Therefore, the expected number of hours of direct labor for Bigger is 11,200 hours of molding and 22,400 hours of polishing. Choice B is the correct answer.

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