The Production Department of Hruska Corporation has submitted the following forecast of units to be produced by quarter for the upcoming fiscal year: 1st Quarter 11,400 2nd Quarter 10,400 3rd Quarter 12,400 4th Quarter 13,400 Units to be produced Each unit requires 0.30 direct labor-hours and direct laborers are paid $12.50 per hour. In addition, the variable manufacturing overhead rate is $1.50 per direct labor-hour. The fixed manufacturing overhead is $94,000 per quarter. The only noncash element of manufacturing overhead is depreciation, which is $34,000 per quarter. Required: 1. Calculate the company's total estimated direct labor cost for each quarter of the the upcoming fiscal year and for the year as a whole. 2&3. Calculate the company's total estimated manufacturing overhead cost and the cash disbursements for manufacturing overhead for each quarter of the upcoming fiscal year and for the year as a whole. Complete this question by entering your answers in the tabs below. Req 1 Req 2 and 3 Calculate the company's total estimated direct labor cost for each quarter of the the upcoming fiscal year and for the year as a whole. (Round "Direct labor time per unit (hours)" answers to 2 decimal places.) 1st Quarter 2nd Quarter 3rd Quarter 4th Quarter Year Total direct labor cost

Q: Stuart Corporation expects to incur indirect overhead costs of $73,775 per month and direct…

A: Formula: Predetermined overhead rate = Total overhead / Number of units Division of total overhead…

Q: To follow is information about the units produced and total manufacturing costs for Pine Enterprises…

A: Formula: Total cost = Variable cost + fixed cost Sum of both variable and fixed cost derives the…

Q: An overhead cost budget for the next month is being prepared by Ebony Supply Company. Past studies…

A: Overhead means the amount spent which is not directly linked with production but indirectly linked.…

Q: a company produces certain items at a labor cost of P 115 each, material cost of P 76 each and…

A: Break even point is that point where total cost and total revenue are equal ,i.e., there is no…

Q: The annual normal capacity for Saplot company is 36,000 machine hours, with fixed manufacturing…

A: Fixed overhead rate = budgeted fixed overhead /budgeted machine hours = 16920/36000 = $0.47 per hour

Q: Batu Ltd operates in Windhoek, manufacturing sandals. The company uses a standard costing system,…

A: labour price variance = (Actual rate per hour - Standard rate per hour) x Actual hours

Q: The annual normal capacity for Saplot company is 36,000 machine hours, with fixed manufacturing…

A: Overhead applied = (2,700 machine hours x P2.10 per hour) + P16,920 Overhead applied = P22,590

Q: The Denmark Company estimates its factory overhead for the next period at 425,000. It is estimated…

A: solution given estimated factory overhead  425,000  Units that will be produced  500,000…

Q: XYZ Company expects to produce and sell 15,000 units during the next year with no beginning or…

A: Budgeted cost of goods sold is calculated by adding the raw materials cost,  labour cost, variable…

Q: Soloman Enterprises recently used 24,000 labor hours to produce 8,600 completed units. According to…

A: Labor Rate Variance Labor rate variance is an accounting tool. It helps in evaluating the difference…

Q: The production manager of Rordan Corporation has submitted the following quarterly production…

A: Lets understand the basics. Management prepares budget in order to estimate future profit and loss…

Q: Dubberly Corporation's cost formula for its manufacturing overhead is $30,800 per month plus $62 per…

A: The activity variance for manufacturing overhead is calculated as difference between flexible budget…

Q: Yandell Company expects to produce 2,010 units in January that will require 4,020 hours of direct…

A: Yandell Company expects to produce = 2,010 Units in January that will require = 4,020 hours of…

Q: XYZ Company expects to produce and sell 15,000 units during the next year with no beginning or…

A: As the questions asked have more than 1 question, the first question is answered. If you want the…

Q: The Production Department of Hruska Corporation has submitted the following forecast of units to be…

A: Variable MOH = $1.80 * DLH's as calculated in Direct Labor Budget

Q: XYZ Company expects to produce and sell 15,000 units during the next year with no beginning or…

A: Budgeted cost of goods sold = Direct material + Direct labor + variable manufacturing overhead costs…

Q: The Production Department of Hruska Corporation has submitted the following forecast of units to be…

A: Variable manufacturing overhead refers to the indirect manufacturing costs. This cost fluctuates…

Q: The Vinta Company estimates its factory overhead for the next period at P2,500,000. It is estimated…

A: Predetermined overhead rate = Estimated overhead cost / Machine hours

Q: Lex Corporation estimates that its production for the coming year will be 500,000 units, which is…

A: Budgeted Total overhead costs = variable overhead + fixed overhead = 4000000+4000000 = P8,000,000

Q: For ABC Company, units to be produced are 5,000 in quarter 1 and 6,000 in quarter 2. It takes 1.6…

A: Total labor hours required = Units produced x labor hour per unit Direct labor budget = Total labor…

Q: XYZ Company expects to produce and sell 15,000 units during the next year with no beginning or…

A: Budgeted cost of goods sold = Direct material + Direct labor + variable manufacturing overhead costs…

Q: The annual normal capacity for Saplot company is 36,000 machine hours, with fixed manufacturing…

A: fixed manufacturing overhead  RATE = BUDGETED fixed manufacturing overhead  / budgeted machine hours…

Q: Sparrow Company produces one product, a putter called GO-Putter. It uses a standard cost system an…

A: Standard costing is an method where it was used to identify variances between the actual levels with…

Q: Newbill Enterprises recently used 34,000 labor hours to produce 11,200 completed units. According to…

A: Variance refers to a change between the expected value and the actual result. This term is usually…

Q: Panda Ltd manufactures and sells a single product which has the following cost and selling price…

A: As posted multiple sub parts we are answering only first three sub parts kindly repost the…

Q: The manufacturing division manager of Davison Enterprises has submitted the following production…

A:

Q: Batu Ltd operates in Windhoek, manufacturing sandals. The company uses a standard costing system,…

A: Sales Price Variance = Actual quantity sold * (actual selling price - planned selling price). If…

Q: The Vinta Company estimates its factory overhead for the next period at P2,500,000. It is estimated…

A: Predetermined factory overhead rate = Overhead cost / Direct labor hours

Q: Preble Company manufactures one product. Its variable manufacturing overhead is applied to…

A: Raw materials cost to be included in planning budget is Direct materials cost per units ($40) for…

Q: The production manager of Rordan Corporation has submitted the following forecast of units to be…

A: Labour cost is the amount to be paid to labour for hours worked. In labour cost budget, labour cost…

Q: Rasmussen Corporation expects to incur indirect overhead costs of $80,000 per month and direct…

A: Manufacturing expenses are simply an expenditure study that estimates how each department in your…

Q: The Production Department of Hruska Corporation has submitted the following forecast of units to be…

A: Budgeting - Budgeting is very useful method of estimating revenue and expense for an organization.…

Q: World Company expects to operate at 80% of its productive capacity of 56,250 units per month. At…

A: Standards are established in advance in respect of sales, cost, efficiency, etc. From the standards,…

Q: The Production Department of Hruska Corporation has submitted the following forecast of units to be…

A: The total cost of production consists of variable and manufacturing cost.

Q: The Production Department of Hruska Corporation has submitted the following forecast of units to be…

A: Direct Labor Cost - It is cost of labor which are divided into two parts i.e Direct Labor cost and…

Q: The production department of Zan Corporation has submitted the following forecast of units to be…

A: Raw material to be consumed per unit = 8 grams Cost of Raw Material = $1.20 per gram Required labor…

Q: Preble Company manufactures one product. Its variable manufacturing overhead is applied to…

A: Given that, during March the company actually produced and sold 30,000 units  direct material per…

Q: The Vinta Company estimates its factory overhead for the next period at P2,500,000. It is estimated…

A: Predetermined overhead rate = Estimated overhead cost / Direct material cost

Q: Zepol Company is planning to produce 600,000 power drills for the coming year. The company uses…

A: Overhead rates in the given case needs to be determined  based on budgeted direct labor hours.

Q: XYZ Company expects to produce and sell 15,000 units during the next year with no beginning or…

A: Cost of goods sold: Cost of goods sold is the total of all the expenses incurred by a company to…

Q: Antuan Company set the following standard costs per unit for its product. $ 12.00 Direct materials…

A: Detailed overhead variance report :-

Q: Batu Ltd operates in Windhoek, manufacturing sandals. The company uses a standard costing system,…

A: labour price variance = ( actual rate per hour - standard rate per hour) x actual direct labour…

Q: Lane Company manufacures a single product and applies overhead cost to that product using standard…

A: Pre-determined overhead rate is defined as the rate that is used in order to apply the manufacturing…

Q: XYZ Company expects to produce and sell 15,000 units during the next year with no beginning or…

A: Budgeted cost of goods sold = Direct material + Direct labor + variable manufacturing overhead costs…

Q: The Maria Company estimated its factory overhead of the next period at P160,000. It is estimated…

A: In ABC costing method, overheads are allocated based on the activity or cost pool. Overhead cost…

Q: YZ Company expects to produce and sell 15,000 units during the next year with no beginning or ending…

A: Budgeted cost of goods sold = Direct material + Direct labor + variable manufacturing overhead costs…

Q: The production department of Raredon Corporation has submitted the following forecast of units  to…

A: Budgeting is used to forecast future costs and to facilitate informed decision making.

Q: Zepol Company is planning to produce 600,000 power drills for the coming year. The company uses…

A: Overhead refers to the ongoing costs to operate a business but excludes the direct costs associated…

Q: The Production Department of Hruska Corporation has submitted the following forecast of units to be…

A: Cost of labor is the amount of cost incurred on the wages of the laborers involved in the process of…

Master Budget

A master budget can be defined as an estimation of the revenue earned or expenses incurred over a specified period of time in the future and it is generally prepared on a periodic basis which can be either monthly, quarterly, half-yearly, or annually. It helps a business, an organization, or even an individual to manage the money effectively. A budget also helps in monitoring the performance of the people in the organization and helps in better decision-making. 

Sales Budget and Selling

A budget is a financial plan designed by an undertaking for a definite period in future which acts as a major contributor towards enhancing the financial success of the business undertaking. The budget generally takes into account both current and future income and expenses.