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Rodriguez, Inc., is preparing its direct labour budget for 2012 from the following production budget based on a calendar year.
Quarter
Units
1
20,000
3
35,000
2
25,000
4
30,000
Each unit requires 1.6 hours of direct labour.
Instructions
Prepare a direct labour budget for 2012. Wage rates are expected to be $15 for the first
2 quarters and $16 for quarters 3 and 4.
because of automation which component of product cost is declining?a. direct laborb. direct materialsc.
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