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What will be the standard total labor cost

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Question - Ajay Inc. produces metal axels. The sales budget for the next four months is: January 6,500 units, February 7,000, March 7,500, April 8,000. Ajay Inc.'s ending finished goods inventory policy is 25% of the following month's sales. Each axel requires 1.1 hours of unskilled labor (paid $9 per hour) and 1.5 hours of skilled labor (paid $16 per hour). What will be the standard total labor cost for the month of March?

Reference no: EM131571777

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