Calculate the company total estimated direct labor cost

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Reference no: EM132510259

The Production Department of Hruska Corporation has submitted the following forecast of units to be produced by quarter for the upcoming fiscal year:

                              1st Quarter                  2nd Quarter                3rd Quarter               4th Quarter
Units to be produced      10,000                      9,000                        11,000                   12,000

Each unit requires 020 direct labor-hours and direct laborers are paid $12.00 per hour. In addition, the variable manufacturing overhead rate is $1.50 per direct labor-hour. The fixed manufacturing overhead is $80,000 per quarter. The only noncash element of manufacturing overhead is depreciation, which is $20,000 per quarter.

Required:

Question 1. Calculate the company‘s total estimated direct labor cost for each quarter of the upcoming ?scal year and for the year as a whole.

Question 2. Calculate the company's total estimated manufacturing overhead cost and the cash disbursements for manufacturing overhead for each quarter of the upcoming ?scal year and for the year as a whole.

Reference no: EM132510259

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