Neely, Inc._direct labor budget_Year December 31, 2012 Neely, Inc._direct labor budget_Year December 31, 2012 Question Neely, Inc., is preparing its direct labor budget for 2012 from the following production budget based on a calendar year. Quarter Units Quarter Units 1 20,000 3 35,000 2 25,000 4 30,000 Each unit requires 1.6 hours of direct labor. Complete the direct labor budget for 2012. Wage rates are expected to be $15 for the first 2 quarters and $16 for quarters 3 and 4. NEELY, INC. Direct Labor Budget For the Year Ending December 31, 2012 Quarter 1 2 3 4 Year Units to be produced Direct labor time (hours) per unit × × × × Total required direct labor hours Direct labor cost per hour × $ × $ × $ × $ Total direct labor cost $ $ $ $ $