The Gerald Corporation Makes and Sells a Single Product Called

Multiple Choice

The Gerald Corporation makes and sells a single product called a Clop. Each Clop requires 1.1 direct labor-hours at $8.20 per direct labor-hour. The direct labor workforce is fully adjusted each month to the required workload. The company is preparing a Direct Labor Budget for the first quarter of the year. If the company has budgeted to produce 20,000 Clops in January, then the budgeted direct labor cost for January is:

A) $164,000
B) $180,400
C) $172,200
D) $195,600