Tracie Corporation manufactures and sells women's skirts. Each skirt (unit) requires 2.2 yards of cloth. Selected data from Tracie's master budget for next quarter are shown below:
July August September
Budgeted sales (in units) 8,900 10,900 12,900
Budgeted production (in units) 9,900 12,400 14,900
Each unit requires 0.9 hours of direct labor, and the average hourly cost of Tracie's direct labor is $19. What is the cost of Tracie Corporation's direct labor in September?
a. $220,590
b. $283,100
c. $254,790
d. $245,100
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