Webster Corporation Is Preparing a Master Budget for the First

Multiple Choice

Webster Corporation is preparing a master budget for the first quarter of the year. The company budgets production of 2,680 units in January, 2,600 units in February and 2,740 units in March. Each unit requires 0.6 hours of direct labor. The direct labor rate is $12 per hour. Compute the budgeted direct labor cost for the first quarter budget.

A) $57,744.
B) $56,160.
C) $48,120.
D) $96,240.
E) $93,600.