Cornerstones of Managerial Accounting 6th Edition by Maryanne Mowen,Don Hansen ,Dan Heitger

Exercise 76

Standard Quantities Allowed of Labor and Materials
Avena Company produces ready-to-cook oatmeal. Each carton of oatmeal requires 16 ounces of rolled oats per carton (the unit quantity standard) and 0.05 labor hours (the unit labor standard). During the year, 800,000 cartons of oatmeal were produced.
Required:
1. Calculate the total amount of oats allowed for the actual output.
2. Calculate the total amount of labor hours allowed for the actual output.