Hall Company Manufactures Pool Tables

Multiple Choice

Hall Company manufactures pool tables.The company has a policy of maintaining a finished goods inventory equal to 35 percent of the next month's planned sales.Each card table requires 4 hours of labor.The budgeted labor rate for the coming year is $12 per hour.Planned sales for the months of July,August,and September are respectively 6,000;8,000;and 5,000 units.What is Hall Company's budgeted direct labor cost for August?

A) $ 83,400
B) $333,600
C) $417,600
D) $434,400