Answer (A) is correct . The standard unit labor cost is $20.50 [($7.25 ¡Á 2?hours in Department 1) + ($12 ¡Á .5 hour in Department 2)], so the total budgeted direct labor dollars for February equal $164,000 (8,000 units ¡Á $20.50).<
Answer (B) is incorrect because The amount of $174,250 is for 500?more units than budgeted usage.
Answer (C) is incorrect because The amount for March is $184,500.
Answer (D) is incorrect because The amount of $221,400 is for 120% of budgeted March production.
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Jordan Auto’s total budgeted direct labor dollars for February usage should be
