Molonglo Manufacturing Produces Two Products,Deluxe and Supreme

Essay

Molonglo Manufacturing produces two products,Deluxe and Supreme.Molonglo expects to sell 20 000 units of Deluxe and 10 000 units of Supreme.Molonglo plans on having an ending inventory of 4000 units of Deluxe and 2000 units of Supreme.Currently,Molonglo has 1000 units of Deluxe in its inventory and 800 units of Supreme.Each product requires two labour operations: moulding and polishing.Product Deluxe requires one hour of moulding time and one hour of polishing time.Product Supreme requires one hour of moulding time and two hours of polishing time.The direct labour rate for moulders is $20 per moulding hour,and the direct labour rate for polishers is $25 per polishing hour.
Required:
Prepare a direct labour budget in hours and dollars for each product.