“The Yost Company makes and sells a single product, Product A. Each unit of Product A requires 1.2 hours of labor at a labor rate of 8.40 per hour. Yost Company needs to prepare a Direct Labor Budget for the second quarter of 19×6. 91. The budgeted direct labor cost per unit of Product A would be: a. $8.40. b. $7.00. c. $10.08 d. $9.60”
3Budgeted direct labor costs per unit = Hours x Labor Rate1.2 x 8.40 = $10.08 / unit