10. MC Qu. 112 LFM Corporation makes and sells …

LFM Corporation makes and sells a product called Product WZ. Each unit of Product WZ requires 2.6 hours of direct labor at the rate of $22.00 per direct labor-hour. Management would like you to prepare a Direct Labor Budget for June.

The company plans to sell 45,000 units of Product WZ in June. The finished goods inventories on June 1 and June 30 are budgeted to be 570 and 130 units, respectively. Budgeted direct labor costs for June would be: (Do not round intermediate calculations.)

rev: 11_19_2015_QC_CS-32026

A) $2,586,332

B) $2,548,832

C) $982,500

D) $2,567,582

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