Question 1 Shiashi Ltd is preparing its manufacturing overhead budget for 2024. Relevant data consist of the following: - Units to be produced (by quarters): 20,000, 24,000, 34,000 and 36,000. Direct labour: Time is 1.5 hours per unit. Variable overhead costs per direct labour hour: Indirect materials GH¢1.40; indirect labour GH 2.40 and maintenance $1.50. Fixed overhead costs per quarter: Supervisory salaries GH 55,000; depreciation GH 27,000 and maintenance GH¢25,000. a) You are required to prepare the manufacturing overhead budget for the year, showing quarterly data. b) What does an organisation stand to gain by preparing annual budgets for its operations? c) Describe the budgeting process of any business entity that you are familiar with.

Assume o company's budgeted unit sales and its required production in units for July ore 80.000 units and 78.000 units, respectively. The budgeted direct labor wage rate is $16.50 per hour. The company's total budgeted direct labor cost for July is $1,608.750. What is the budgeted direct lobor-hours required per units Multiple Choice ο ο ο ο 1.35 hours 1.32 hours 1.22 hours 1.25 hours

QUESTION 1 New Norm Fashion produces washable face mask shield. The following budgeted/ actual information is provided regardingto the production of face mask: RM/unit Selling price 50.00 Direct materials 8.00 Direct labour 5.00 Variable production overheads 3.00 Details of its operations for the month of May and June 2021 are as follows: May June Production 500 380 Sales 300 500 Fixed production overheads are budgeted at RM4,000 per month and are absorbed on a unit basis. The normal level of production is budgeted at 400 units per month. Other costs: RM/month Fixed selling 4,000 Fixed administration 2,000 Variable sales commission 5% of sales revenue There was no opening inventory of face mask at the beginning of May. Required: (a) Prepare income statement for the month of May and June using (i) variable costing (ii) absorption costing (b) Prepare a reconciliation of profit or loss figures based on your answers in a(i) and (c)Describe a situation where net profit under variable…

Ch. 8 Total Budgeted Cost of Goods Sold Problem. Please solve the following problem and explain each step.  S&P's direct material cost is $6.50 per unit.  The direct laboer is $30 per hour and each unit takes 1/2 hour to produce.  Variablel Manufacturing Overhead is $2.75 per unit and total fixed  overhead is $63,000.  A sales commission of $5 is paid on each unit.  If S&P expects to produce 9,000 units and sell 7,000 units, the total budgeted cost of goods sold for the year is?

6 Required information SB Exercise E8-5 to E8-10 [The following information applies to the questions displayed below.] Shadee Corporation expects to sell 600 sun shades in May and 350 in June. Each shade sells for $142. Shadee's beginning and ending finished goods inventories for May are 65 and 45 shades, respectively. Ending finished goods inventory for June will be 65 shades. E8-7 (Algo) Preparing Direct Labor and Manufacturing Overhead Budgets [LO 8-3d] Suppose that each shade takes three direct labor hour to produce and Shadee pays its workers $13 per hour. Additionally, Shadee's fixed manufacturing overhead is $11,000 per month, and variable manufacturing overhead is $14 per unit produced. Required: 1. Prepare Shadee's direct labor budget for May and June. ces 2. Prepare Shadee's manufacturing overhead budget for May and June. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare Shadee's direct labor budget for May and June. Note: Do not…

Exercise 4 (Direct Labor Budget) The Production Department of the Laguna Plant of JC Corporation has submitted the following forecast of units to be produced at the plant for each quarter of the upcoming fiscal year. The plant produces high-end outdoor barbeque grills. 1st quarter 2 quarter 3rd quarter 4 quarter Units to be produced... 5,000 4,400 4,500 4,900 Each unit requires 0.40 direct labor-hours and direct labor-hour workers paid P11 per hour. Required: 1. Construct the company's direct labor budget for the upcoming fiscal year, assuming that the direct labor work force is adjusted each quarter to match the number of hours required to produce the forecasted numberof unitsproduced. 2. Construct the company's direct labor budget for the upcoming fiscal year, assuming that the direct labor work force is not adjusted each quarter. Instead, assume that the company's direct labor work force consists of \ permanent employees who are guaranteed to be paid for at least 1,800 hours of work…

Exercise 8-15 (Algo) Direct Labor and Manufacturing Overhead Budgets (LO8-5, L08-6) The Production Department of Hruska Corporation has submitted the following forecast of units to be produced by quarter for the upcoming fiscal year Ist Quarter 11,700 2nd Quarter 10,700 Jed Quarter 12,700 Units to be produced Each unit requires 0.25 direct labor-hours and direct laborers are paid $15.00 per hour In addition, the variable manufacturing overhead rate is $180 per direct labor hour. The fixed manofacturing overhead is $97,000 per quarter. The only noncash element of manufacturing overhead is depreciation, which is $37,000 per quarter Total direct labor cost 13,700 Required: 1. Calculate the company's total estimated direct labor cost for each quarter of the upcoming fiscal year and for the year as a whole. 2. and 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…

Ch. 8 Homework Question 5 & 6 Question: 5 Suppose that each visor takes 0.30 direct labor hours to produce and Shadee pays its workers $9 per hour. Required: Determine Shadee's budgeted direct labor cost for May and June. Question 6 Each visor requires a total of $4.00 in direct materials that includes an adjustable closure that the company purchases from a supplier at a cost of $1.50 each. Shadee wants to have 30 closures on hand on May 1, 20 closures on May 31 and 25 closures on June 30 and variable manufacturing overhead is $1.25 per unit produced. Suppose that each visor takes 0.30 direct labor hours to produce and Shadee pays its workers $9 per hour. Required: 1. Determine Shadee’s budgeted manufacturing cost per visor. (Note: Assume that fixed overhead per unit is $2.) 2. Determine Shadee's budgeted cost of goods sold for May and June.

8 Myers Company uses a flexible budget for manufacturing overhead based on direct labor hours. Variable manufacturing overhead costs per direct labor hour are as follows. Indirect labor Indirect materials Utilities Fixed overhead costs per month are Supervision $3,500, Depreciation $1,300, and Property Taxes $700. The company believes it will normally operate in a range of 5,500-8,500 direct labor hours per month. Variable Costs Indirect labor $1.20 Assume that in July 2020, Myers Company incurs the following manufacturing overhead costs. Indirect materials Utilities 0.80 0.40 Depreciation $8,720 Supervision 5,830 Depreciation 2,590 Property taxes Direct Labor Hours Fixed Costs Indirect Labor Indirect Materials Property Taxes Supervision Fixed Costs Total Costs Total Fixed Costs Total Variable Costs Utilities Variable Costs (a) Prepare a flexible budget performance report, assuming that the company worked 7,500 direct labor hours during the month. (List variable costs before fixed…