For the purposes of calculating COGS and Closing Inventory of finished goods, cost per unit for January 2021 is $670 for the Premium wardrobe and $1,480 for the De Luxe wardrobe. Prepare the following budgets for January 2021: Revenues budget Production budget in units Direct materials usage budget and direct materials purchases budget (both budgets in units and $) Direct manufacturing labour budget Manufacturing overhead budget Ending inventories budget (direct materials and finished goods) Cost of goods sold budget For each budget, prepare by product (Premium and De Luxe) and in total. Format of the spreadsheet makes it easy to read and distinguishes clearly between the input and output cell
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.
For the purposes of calculating COGS and Closing Inventory of finished goods, cost per unit for
January 2021 is $670 for the Premium wardrobe and $1,480 for the De Luxe wardrobe.
Prepare the following budgets for January 2021:
Revenues budget
Production budget in units
Direct materials usage budget and direct materials purchases budget (both budgets in units and $)
Direct manufacturing labour budget
Manufacturing
Ending inventories budget (direct materials and finished goods)
Cost of goods sold budget
For each budget, prepare by product (Premium and De Luxe) and in total.
Format of the spreadsheet makes it easy to read and distinguishes clearly between the input and output cells
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