-/1 Question 14 View Policies Current Attempt in Progress The production budget shows expected unit sales are 100,000. The required production units are 104,000. What are the beginning and desired ending finished goods units, respectively? rt Ending Units Beginning Units 10,000 6,000 O 4,000 10,000 6,000 10,000 10,000 4,000 8:47 P A 11/27/2 hp fio fit f12 ins prt sc 14 delete home end 14 & 1 7 backspace lock { P home K 4 enter sned t shit evd C Z I
Q: The International Company makes and sells only one product, Product SW. The company is in the…
A: The variable expenses remains constant for one unit and increases or decrease with increase or…
Q: Question 2 Gulp Ltd retails two products: A and B. The budgeted income statement for the next period…
A: a) So, to compute the Breakeven Point we need Fixed Cost and Contribution per unit.…
Q: YZ Company's budgeted production in January is 175,000 units. Ending inventory should be 20% of the…
A: Desired ending inventory = February sales x 20% = 165,000 units x 20% = $33,000 units
Q: Exercise 9-4 Direct Labor Budget [LO9-5] The production manager of Rordan Corporation has…
A: Direct labor budget is used to calculate how many hours of work is needed and how much labor cost…
Q: FINAL REVISION QUESTION 1. The production budget for Zink Company shows units to be produced as…
A: Direct labor refers to those workers who are engaged in production process. The wages which are paid…
Q: Flexible budget for a product as prepare by Anchor Ltd, is given below: Sales – unit…
A: Absorption costing is defined as the costing method which account for all the costs of manufacturing…
Q: 2.2.Total Marginal Income and Net Profit/Loss of each proposal. 2.3. Break-even quantity of each…
A: Particular Proposal A Proposal B Sold unit 33000 35000 S P per unit 10 9 VC per unit…
Q: Variable and absorption costing, explaining operating-income differences. Nascar Motors assembles…
A: Prepare an income statement under variable costing method.
Q: Brief Exercise 23.3 (Static) Production Budget (LO23-4) Expected quarterly unit sales of cured hams…
A: Cured ham production (in units) = Forecasted unit sales + planned ending units - Beginning…
Q: Question 26 ACME Corporation produces scarves for all occasions in a variety of designer colours.…
A: Cost of goods sold - Cost of Goods Sold is the cost incurred to sell the goods to the customer. The…
Q: Variable and absorption costing, explaining operating-income differences. Nascar Motors assembles…
A:
Q: Q2: Flexible budget for a product as prepare by Anchor Ltd, is given below: Sales – unit…
A: Contribution margin means sales revenue over and above variable costs. These variable costs can be…
Q: Flower ltd. budgeted to sell 200 units and produced the following budget. 71400 Sales Variable costs…
A:
Q: EXERCISE 9-11 Production and Direct Materials Budgets [LO3, L04] The marketing department of Gaeber…
A: Production budget shows how many units needs to be produced to meet the expected demand and…
Q: q7: Flexible budget for a product as prepare by Anchor Ltd, is given below: Sales – unit…
A: Units produced means for how much units, manufacturing activities are completed or all costs related…
Q: Q3 (a) Jati Jentayu Sdn Bhd manufactures and sells furniture that has peak sales in the third month.…
A: Budgeting: Budgeting is a future plan of expected income, expenditure and cash for a particular…
Q: Rodriguez, inc, preparing producti ndar yea. paseg aaapng Quarter Units Quarter Units 1 20,440 3…
A: Total Required Direct Labor Hours = Units to be Produced * Direct Labor Time Total Direct Labor Cost…
Q: Flexible budget for a product as prepare by Anchor Ltd, is given below: Sales – unit…
A: Absorption Costing: Absorption costing is a technique for accumulating the prices associated with a…
Q: is’ production data for a new deluxe product were taken from the most recent quarterly production…
A: Solution: Direct labor cost for the quarter represents total direct labor cost for standard units…
Q: Inventory of finished goods on June 30, 2010, is budgeted at 1,000 units. Management would like the…
A: A budget is defined as an estimate of revenue income and expenses for a set period of time. The…
Q: 9-4
A: Prepare a flexible budget performance report for July. Working note: Calculate the variable cost…
Q: Pair Company has two products named X and Y. The firm had the following master budget for the year…
A: Contribution margin is similar to the gross margin in that the calculation subtracts sales from…
Q: q9: Flexible budget for a product as prepare by Anchor Ltd, is given below: Sales – unit…
A: Finished goods means goods on which all production activity has been completed and all manufacturing…
Q: Question 12 A company's flexible budget for 12,600 units of production showed sales, $54,180;…
A: The variable cost per unit remains constant at every level of production but fixed cost per unit…
Q: Case 3 GG Industrial is a new manufacturing company and is in the process of preparing its…
A: Manufacturing overhead means all type of indirect costs incurred for the manufacturing and…
Q: Michael Cage Manufacturing Company sells birdhouses. The company has prepared the following forecast…
A: The budgeted sales along with beginning inventory and ending inventory can be used to determined the…
Q: -/1 Question 13 View Policies Current Attempt in Progress The following information is taken from…
A: The production budget refers to that budget which forecasts the production for the future accounting…
Q: q8: Flexible budget for a product as prepare by Anchor Ltd, is given below: Sales – unit…
A: Contribution margin means sales revenue that is over and above variable costs. Variable costs means…
Q: Question 11 --/1 View Policies Current Attempt in Progress A company developed the following…
A: Given:Standard rate = $8 per gallonActual Quantity = 1000 gallonsActual Price = $7,600 for 1000…
Q: Q12 Gourmet Aroma Coffee House has an exclusive contract with Columbia exporters. Two brands of…
A: Contribution margin per unit=Selling price per unit-Variable cost per unit Contribution margin sales…
Q: sions Question 10 --/1 ences View Policies prations Current Attempt in Progress LUS Support Vaughn…
A: Production-Volume Variance: Production volume variance determines the amount of overhead employed to…
Q: Q.No.3 The following information has been by New Inc. in preparing its budget for November and Dece…
A: FOH means factory overhead costs or indirect expenses related to factory like factory utilities,…
Q: prejudice to your response to any other question, assume question thàt Superite plans to manufacture…
A: solution dear student as per the bartleby guideline we are required to solve the first question only…
Q: 2. Al Nebras Company has budgeted production for next year as follows: 1st Year Q1 Q2 Q3 Q4…
A: Formula: Total production pounds = production units x each unit requires 4 pounds Multiplying…
Q: 11 The flexible budget of Coco Corp in different levels of direct labor hours Direct labor hours…
A: Variable costs are those costs whose value changes with the change in the production level while as…
Q: https://ez Help Save & Ex - Chapter 11 & 13 Review The Colson Company has budgeted sales for the…
A:
Q: Q5: Flexible budget for a product as prepare by Anchor Ltd, is given below: Sales – unit…
A: Given: 12,000 units have been completed 6,000 units have been sold.
Q: Q3: Flexible budget for a product as prepare by Anchor Ltd, is given below: Sales – unit…
A: Units produced means for how many units production activity has been completed or how many units are…
Q: Question 15 nts View Policies Current Attempt in Progress The direct materials budget shows: upport…
A: A Budget statement is a proper articulation of assessed income and costs dependent on tentative…
Q: l LTE 11:10 project cost accounting fe07... Done 3 of 3 Problem 2. Preparing Master budgets UBS…
A: As per authoring guidelines the first three parts of the question is answered. Repost the question…
Q: Exercise 6 DSD Ltd has budgeted to produce 7 500 units of D. For each unit of D, three units D1…
A: DSD Ltd has budgeted to produce 7 500 units of D. For each unit of D, three units D1 (one of the…
Q: Santa Fe Production sells a single product to wholesalers. The company's budget for the upcoming…
A: Contribution margin per unit = Selling price - Variable cost per unit Break even point in units =…
Q: EXERCISE 8-15 Direct Labor and Manufacturing Overhead Budgets [@ LO8-5, Q LO8-6] The Production…
A:
Q: 2. Al Nebras Company has budgeted production for next year as follows: 1" Year QI Q2 Q3 Q4…
A: Purchase budget = Desired ending inventory +Cost of goods sold - Beginning inventory
Q: Juitty J. 0argin of Safety Ratio 4. Mahjong Co. produces and sells two products, tables and chairs.…
A: Break-even point sales in units is calculated to determine how much units are required to sold to…
Trending now
This is a popular solution!
Step by step
Solved in 3 steps with 1 images
- Refer to Cornerstone Exercise 8.1, through Requirement 1. FlashKick requires ending inventory of product to equal 20 percent of the next months unit sales. Beginning inventory in January was 3,100 practice soccer balls and 400 match soccer balls. Required: 1. Construct a production budget for each of the two product lines for FlashKick Company for the first three months of the coming year. 2. What if FlashKick wanted a production budget for the two product lines for the month of April? What additional information would you need to prepare this budget? FlashKick Company manufactures and sells soccer balls for teams of children in elementary and high school. FlashKicks best-selling lines are the practice ball line (durable soccer balls for training and practice) and the match ball line (high-performance soccer balls used in games). In the first four months of next year, FlashKick expects to sell the following: Required: 1. Construct a sales budget for FlashKick for the first three months of the coming year. Show total sales for each product line by month and in total for the first quarter. 2. What if FlashKick added a third linetournament quality soccer balls that were expected to take 40 percent of the units sold of the match balls and would have a selling price of 45 each in January and February, and 48 each in March? Prepare a sales budget for Flash- Kick for the first three months of the coming year. Show total sales for each product line by month and in total for the first quarter.Refer to Cornerstone Exercise 8.6. Required: 1. Calculate the total budgeted cost of units produced for Play-Disc for the coming year. Show the cost of direct materials, direct labor, and overhead. 2. Prepare a cost of goods sold budget for Play-Disc for the year. 3. What if the beginning inventory of finished goods was 75,200 (for 16,000 units)? How would that affect the cost of goods sold budget? (Assume Play-Disc uses the FIFO method.) Play-Disc makes Frisbee-type plastic discs. Each 12-inch diameter plastic disc has the following manufacturing costs: For the coming year, Play-Disc expects to make 300,000 plastic discs, and to sell 285,000 of them. Budgeted beginning inventory in units is 16,000 with unit cost of 4.75. (There are no beginning or ending inventories of work in process.) Required: 1. Prepare an ending finished goods inventory budget for Play-Disc for the coming year. 2. What if sales increased to 290,000 discs? How would that affect the ending finished goods inventory budget? Calculate the value of budgeted ending finished goods inventory.Use the following information for Exercises 9-50 and 9-51: Assume that Stillwater Designs produces two automotive subwoofers: S12L7 and S12L5. The S12L7 sells for 475, and the S12L5 sells for 300. Projected sales (number of speakers) for the coming 5 quarters are as follows: The vice president of sales believes that the projected sales are realistic and can be achieved by the company. Exercise 9-50 Sales Budget Refer to the information regarding Stillwater Designs above. Required: 1. Prepare a sales budget for each quarter of 20X1 and for the year in total. Show sales by product and in total for each time period. 2. CONCEPTUAL CONNECTION How will Stillwater Designs use this sales budget?
- Refer to Cornerstone Exercise 8.2 for the production budgets for practice balls and match balls. Every practice ball requires 0.7 square yard of polyvinyl chloride panels, one bladder with valve (to fill with air), and 3 ounces of glue. FlashKicks policy is that 20 percent of the following months production needs for raw materials be in ending inventory. Beginning inventory in January for all raw materials met this requirement. Required: 1. Construct a direct materials purchases budget for each type of raw materials for the practice ball line for January and February of the coming year. 2. What if FlashKick decreased the ending inventory percentage to 15 percent of the next months production needs? What impact would that have on the direct materials purchases budgets prepared in Requirement 1? Refer to Cornerstone Exercise 8.1, through Requirement 1. FlashKick requires ending inventory of product to equal 20 percent of the next months unit sales. Beginning inventory in January was 3,100 practice soccer balls and 400 match soccer balls. Required: 1. Construct a production budget for each of the two product lines for FlashKick Company for the first three months of the coming year. 2. What if FlashKick wanted a production budget for the two product lines for the month of April? What additional information would you need to prepare this budget?Refer to Exercise 8.27. At the end of the year, Meliore, Inc., actually produced 310,000 units of the standard model and 115,000 of the deluxe model. The actual overhead costs incurred were: Required: Prepare a performance report for the period. In an attempt to improve budgeting, the controller for Meliore, Inc., has developed a flexible budget for overhead costs. Meliore, Inc., makes two types of products, the standard model and the deluxe model. Meliore expects to produce 300,000 units of the standard model and 120,000 units of the deluxe model during the coming year. The standard model requires 0.05 direct labor hour per unit, and the deluxe model requires 0.08. The controller has developed the following cost formulas for each of the four overhead items: Required: 1. Prepare an overhead budget for the expected activity level for the coming year. 2. Prepare an overhead budget that reflects production that is 10 percent higher than expected (for both products) and a budget for production that is 20 percent lower than expected.OPTIMAL CAPITAL BUDGET Hampton Manufacturing estimates that its WACC is 125%. The company is considering the following seven investment projects: Project Size IRR A 750,000 14.0% B 1,250,000 13.5 C 1,250,000 13.2 D 1,250,000 13.0 E 750,000 12.7 F 750,000 12.3 G 750,000 12.2 a. Assume that each of these projects is independent and that each is just as risky as the firm's existing assets. Which set of projects should be accepted, and what is the firm's optimal capital budget? b. Now assume that Projects C and D are mutually exclusive. Project D has an NPV of 400,000, whereas Project C has an NPV of 350,000. Which set of projects should be accepted, and what is the firm's optimal capital budget? c. Ignore Part b and assume that each of the projects is independent but that management decides to incorporate project risk differentials. Management judges Projects B, C, D, and E to have average risk; Project A to have high risk; and Projects F and G to have low risk. The company adds 2% to the WACC of those projects that are significantly more risky than average, and it subtracts 2% from the WACC of those projects that are substantially less risky than average. Which set of projects should be accepted, and what is the firm's optimal capital budget?
- OPTIMAL CAPITAL BUDGET Hampton Manufacturing estimates that its VVACC is 125%. The company is considering the following 7 investment projects: Project Size IRR A 750,000 14.0% B 1,250,000 13.5 C 1,250,000 13.2 D 1,250,000 13.0 E 750,000 12.7 F 750,000 12.3 G 750,000 12.2 a. Assume that each of these projects is independent and that each is just as risky as the firms existing assets. Which set of projects should be accepted, and what is the firms optimal capital budget? b. Now assume that Projects C and D are mutually exclusive. Project D has an NPV of 400,000, whereas Project C has an NPV of 350,000. Which set of projects should be accepted, and what is the firms optimal capital budget? c. Ignore part b and assume that each of the projects is independent but that management decides to incorporate project risk differentials. Management judges Projects B, C, D, and E to have average risk. Project A to have high risk, and Projects F and G to have low risk. The company adds 2% to the WACC of those projects that are significantly more risky than average, and it subtracts 2% from the WACC of those projects that are substantially less risky than average. Which set of projects should be accepted, and what Is the firms optimal capital budget?Q49 Arrow, Incorporated, manufactures two products that it sells to the same market. Excerpted below are its budgeted and actual operating results for the year just completed: Budget Actual Unit sales Product X 21,500 40,000 Product Y 89,000 79,000 Unit contribution margin Product X $ 6.00 $ 3.90 Product Y $ 13.00 $ 14.00 Unit selling price Product X $ 13.00 $ 14.00 Product Y $ 30.00 $ 29.00 Industry volume was estimated to be 1,865,000 units at the time the budget was prepared. Actual industry volume for the period was 2,400,000 units. Arrow measures variances using contribution margin. The weighted-average budgeted contribution margin per unit is: Multiple Choice $10.43. $11.64. $12.23. $9.12. $9.17.Q1; Waroad Company's sales budget projects unit sales of part CB78 of 10,000 units in January, 12,000 units in February, and 13,000 units in March. Each unit of part CB78 requires 3 pounds of materials, which cost $4 per pound. Warood Company desires its ending raw materials inventory to equal 30% of the next month's production requirements, and its ending finished goods inventory to equal 25% of the next month's expected unit sales. These goals were met at December 31, 2018. Instructions: (a) Prepare a production budget for January and February 2019. (b) Prepare a direct materials budget for January 2019. (c) What are the benefits of preparing a production and direct materials budget?
- QUESTION2 A company manufactures a single product. Budget and Standard cost details for next year include: Selling Price per unit R24.00 Variable Production cost per unit R8.60 Fixed production costs R650 000 Fixed selling and distribution costs R230 400 Sales commission 5% of selling price Sales 90 000 units Required The marketing manager has suggested that the selling price per unit can be increased to R25.00.If the sales commission is increased to 8% percent of selling price and a further R10 000 is speny on advertising Calculate the revised breakeven point based on the marketing managers suggestion10-Johnson LLC has prepared a budget for the production of 100000 units. The total cost per unit as per the original budget OMR 27.02 and the total cost per unit as per the revised budget of 150000 units is OMR 36.20. If the total cost of production for revised budget is OMR 4,400,000, find out the fixed sales overheads if 50% of the total sales overheads are fixed. a. None of the given answers b. OMR 500000 c. OMR 1,030,000 d. OMR 515000(12) Use this information for Mandy Corporation to answer the question that follows. Mandy Corporation sells a single product. Budgeted sales for the year are anticipated to be 641,000 units, estimated beginning inventory is 101,000 units, and desired ending inventory is 80,000 units. The quantities of direct materials expected to be used for each unit of finished product are as follows:Material A: 0.50 lb. per unit @ $0.69 per poundMaterial B: 1.00 lb. per unit @ $1.76 per poundMaterial C: 1.20 lb. per unit @ $0.87 per poundThe dollar amount of Material B to be used in production during the year is