Appendix II Expected Unit Sale November 474,667 December 712,000 January's sales increases by 50% incrementally each month 10% following month's production requirements 10% of Estimated first quarter sales Desired Ending Finished Goods: January's Beginning finished goods: Desired Ending Direct Materials (lbs): January's Beginning Direct Materials (Lbs): 5% next month's production 10% Estimated first quarter's production Direct Materials per unit. 2 lbs Direct Materials cost per lb. $0.75 Collection Contract Schedule 60% in the same month of sale 30% in the next month of sale 10% two months after sale Scheduled Payments 50% in the month of purchase 50% in the next month of purchase Selling & Administrative $ Variable Expenses per Unit Fixed Expenses 1.40 Advertising 15,000.00 Insurance 1,400.00 Salaries 12,000.00 Depreciation 2,200.00 Other 3,000.00 Total Direct Labour Cost $ January February 4,037,040.00 6,055,560.00 March 9,788,400.00 Total Indirect Labour Hours January 224,280 February 336,420 March 435,040
Appendix II Expected Unit Sale November 474,667 December 712,000 January's sales increases by 50% incrementally each month 10% following month's production requirements 10% of Estimated first quarter sales Desired Ending Finished Goods: January's Beginning finished goods: Desired Ending Direct Materials (lbs): January's Beginning Direct Materials (Lbs): 5% next month's production 10% Estimated first quarter's production Direct Materials per unit. 2 lbs Direct Materials cost per lb. $0.75 Collection Contract Schedule 60% in the same month of sale 30% in the next month of sale 10% two months after sale Scheduled Payments 50% in the month of purchase 50% in the next month of purchase Selling & Administrative $ Variable Expenses per Unit Fixed Expenses 1.40 Advertising 15,000.00 Insurance 1,400.00 Salaries 12,000.00 Depreciation 2,200.00 Other 3,000.00 Total Direct Labour Cost $ January February 4,037,040.00 6,055,560.00 March 9,788,400.00 Total Indirect Labour Hours January 224,280 February 336,420 March 435,040
Chapter5: Operating Activities: Purchases And Cash Payments
Section: Chapter Questions
Problem 3.9C
Related questions
Concept explainers
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.
Question
Prepare a sales budget
Transcribed Image Text:ll bmobile ?
8:26 AM
88%
X Individual Assignment |- Case - (E...
Appendix I
Contribution
Margin
Ratio
Sales Mix
White Chocolate
50.00%
40.00%
Dark Chocloate
30.00%
60.00%
Pure Chocolate
20.00%
70.00%
Estimated
Total Driver per
Activity Cost Pool
Issuing Purchase Orders
Delivery Orders
Overhead
Volume
$150,000
50,000
$160,000
20,000
Packaging
$450,000 100,000
Cost Driver
No. of Purchase Orders
No. of Reams
No. of Orders Delivered
Pure
Activity Cost Pool
Issuing Purchase Orders
Dark Chocolate
White Chocolate
Chocolate
125
180
160
Delivery Orders
Packaging
150
400
325
160
350
300
Raw Materials Data
$1,250,000
Beginning
Ending
$24,500
Work in Process
Beginning
Ending
Manufacturing Overhead
$89,000
$16,000
$215,000
Direct Labour
824,000.00
Old Machine
80,000,00
New Machine
55,000.00
Production Cost per unit
Sales Cost per unit
Production in units (Old
Machine)
6.50
8,50
50.00
Sale in Units (Old Machine)
50.00
Transcribed Image Text:ull bmobile ?
8:27 AM
88%
X Individual Assignment I - Case - (E...
Appendix II
Expected Unit Sale
November
474,667
December
712,000
January's sales increases by 50% incrementally each month
Desired Ending Finished Goods:
January's Beginning finished goods:
10% following month's production
requirements
10% of Estimated first quarter sales
Desired Ending Direct Materials (lbs):
January's Beginning Direct Materials
(Lbs):
5% next month's production
10% Estimated first quarter's production
Direct Materials per unit.
Direct Materials cost per lb.
2 lbs
$0.75
Collection Contract Schedule
60% in the same month of sale
30% in the next month of sale
10% two months after sale
Scheduled Payments
50% in the month of purchase
50% in the next month of purchase
Selling & Administrative
$
Variable Expenses per Unit
Fixed Expenses
Advertising
1.40
15,000.00
Insurance
1,400.00
Salaries
12,000.00
Depreciation
2,200.00
Other
3,000.00
Total Direct Labour Cost
$
January
February
4,037,040.00
6,055,560.00
March
9,788,400.00
Total Indirect Labour Hours
January
224,280
February
336,420
March
435,040
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