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Question

Webster Corporation is preparing a master budget for the first quarter of the year. The company budgets production of 2,880 units in January, 2,700 units in February and 3,240 units in March. Each unit requires 0.5 hours of direct labor. The direct labor rate is $14 per hour. Compute the budgeted direct labor cost for the first quarter budget.

  • $56,700.
  • $61,740.
  • $123,480.
  • $113,400.
  • $44,100

 

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