2 Information about Beautiful Bottles a busin ess manufactur

2) Information about Beautiful Bottles, a busin ess manufacturing bottles for the food industry, is given below. Number of bottles produced each year Factory manager\'s salary Senior production staff salaries (2 staff @ $70 000 each) Junior production staff salaries (10 staff 40 000 each)| 3 375 000 $120 000 $140 000 $400 000

Solution

Direct labour cost per bottel= total labour cost / total number of bottle produced per year

A) total labour cost = Factory manager salary + senior production staff salary + Junior producion staff salary

= $120,000 + $140,000 + $ 400,000

= 660,000

B) total number of bottles produced per year = 3375000

= A/B= 660,000/3375000

= 0.19 per bottle