1. River, Inc. manufactures two types of camping tents, the Pro and the Amateur models. The
November production budget for the two products is as follows:
Pro 1,800 units
Amatuer 5,200 units
The tents are produced in two departments: Cutting and Stitching. The direct labor required for each
tent is estimated to be:
Pro Cutting Stitching
Department Department
Amatuer 0.60 hour per unit 0.75 hour per unit 0.25 hour per unit 0.50 hour per unit
The direct labor rate per department is $16.00 per hour for Cutting and $20.00 per hour for Stitching.
Required:
Prepare the Direct Labor cost budget for November.
Direct Labor Budget
River, Inc.
November 2022
Total Direct Labor costs Pro Amateur
