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Hello i have attached two pictures. They are both used together to answer the question. The first picture is the information to use too answer the question plus the spreadsheet. The second attachment is the questions I HAVE DONE ALREADY PLEASE DO NOT ANSWER 1,2,3,4,5 or 6 as i have answered it already. I hope it is understandable and whoever answer this can please explain how they got the answers. I need the help    I need help on 7 and 8 PLEASE answer these.   7. Prepare a selling and administrative expenses budget for march 8. Prepare a budgeted income statement for march

Hello i have attached two pictures. They are both used together to answer the question. The first picture is the information to use too answer the question plus the spreadsheet. The second attachment is the questions I HAVE DONE ALREADY PLEASE DO NOT ANSWER 1,2,3,4,5 or 6 as i have answered it already. I hope it is understandable and whoever answer this can please explain how they got the answers. I need the help    I need help on 7 and 8 PLEASE answer these.   7. Prepare a selling and administrative expenses budget for march 8. Prepare a budgeted income statement for march

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Hello i have attached two pictures. They are both used together to answer the question. The first picture is the information to use too answer the question plus the spreadsheet. The second attachment is the questions I HAVE DONE ALREADY PLEASE DO NOT ANSWER 1,2,3,4,5 or 6 as i have answered it already. I hope it is understandable and whoever answer this can please explain how they got the answers. I need the help 

 

I need help on 7 and 8 PLEASE answer these.

  7. Prepare a selling and administrative expenses budget for march

8. Prepare a budgeted income statement for march

OBJ. 4 PR 22-3B Budgeted income statement and supporting budgets The budget director of Gold Medal Athletic Co., with the assistance of the controller, treasurer, production manager, and sales manager, has gathered the following data for use in developing the budgeted income statement for March: 1. GOLD MEDAL ATHLETIC CO. Sales Budget a. Estimated sales for March: Had For the Month Ending March 31 1,200 units at S$40 per unit 6,500 units at $160 per unit Unit Sales Unit Selling Batting helmet. Football helmet Product Volume Sales Batting helmet Football helmet Total revenue from sales (Continued) 2. GOLD MEDAL ATHLETIC CO. Production Budget For the Month Ending March 31 Units Batting Football Helmet Helmet Expected units to be sold Total units required Chapter 22 Buteting A Estimated inventories March 1 Total units to be produced Dect materials Plastic Foam ining Finished producte Batting helmet. Football helmet.. 40 units at 25 per unit 240 units at S77 per unit GOLD MEDAL ATHLETIC CO. e Desired inventories March 31: Direct Materials Purchases Budget r the Month Ending March 31 Direct materals Plastic Foam lining Finished products Batting helmet.. Football helmet... 50 units at 525 per unit 220units at $78 per unit 50 Ib Plastic Foam Lining 65 Ib (Ibs.) (Ibs.) Total d. Direct materials used in production In manufacture of batting helmet: Pounds required for production: 120 b per unit of product 0.50 Ib per unit of product Batting heimet Football heimet Plastic Foam lining In manufacture of football helmet Plastic . 3.50 lb per unit of product 1.50 b. per unit of product Total pounds required Total pounds to be purchased purchases and beginning and ending inventory of direct materials $6.00 per ib $4.00 per Ib Unit price (per pound) e. Anticipated cost Total direct materials to be purchased Plastic Foam lining.... E Direct labor requirements GOLD MEDAL ATHLETIC CO. Batting helmet Molding Department Assembly Department Football helmet Molding Department. . Assembly Department...... 0.20 hr. at $20 per hr. 0.50 hr. at $14 per hr. Direct Labor Cost Budget For the Month Ending March 31 Molding Assembly 0.50 hr. at $20 per hr. 1.80 hrs. at $14 per hr. Department Department Total Hours required for production: Batting helmet & Estimated factory overhead costs for Marcha $86.000 Football heimet $4.000 Power and light Insurance and property tax Total hours required Indirect factory wages Depreciation of plant and equipment 2,300 12,000 Hourly rate Total direct labor cost h. Estimated operating expenses for March: $184.300 Sales salaries expense 87,200 Advertising expense 32,400 GOLD MEDAL ATHLETIC c. Office salaries expense Depreciation expense-office equipment Telephone expense-selling Telephone expense-administrative Travel expense-selling Office supplies expense Miscellaneous administrative expense Factory Overhead Cost Budget For the Month Ending March 31 3,800 5,800 1,200 Indirect factory wages Depreciation of plant and equipment Power and light 9,000 1,100 1,000 Insurance and property tax Total L Estimated other income and expense for March: Interest revenue $940 Interest expense 872 GOLD MEDAL ATHLETIC CO. Cost of Goods Sold Budget For the Month Ending March 31 I Estimated tax rate: 30N Instructions 1. Prepare a sales budget for March. 2. Prepare a production budget for March. 3. Prepare a direct materials purchases budget for March. 4. Prepare a direct labor cost budget for March. Direct materials Direct materials purchases Cost of direct materials available for use Cost of direct materials placed in production Direct labor 5. Prepare a factory overhead cost budget for March. 6. Prepare a cost of goods sold budget for March. Work in process at the beginning of March is estimated to be $15,300, and work in process at the end of March is desired Factory overhead Total manufacturing costs Total work in process during period Cost of goods manufactured to be $14,800. 7. Prepare a selling and administrative expenses budget for March. 8. Prepare a budgeted income statement for March. Cost of finished goods available for sale Cost of goods sold Supporting calculations: Units Cost Total Finished goods inventory, March 1: Batting helmet GOLD MEDAL ATHLETIC CO. Football helmet Selling and Administrative Expenses Budget Total For the Month Ending March 31 Finished goods inventory, March 31: Batting helmet Selling expenses Football helmet Total Direct materials inventory. March 1 Plastic Foam lining Total Total selling expenses Administrative expenses: Direct materials inventory, March 31 Plastic Foam lining Total 7. GOLD MEDAL ATHLETIC CO. Selling and Administrative Expenses Budget For the Month Ending March 31 Total administrative expenses Total operating expenses Selling expenses: 1. GOLD MEDAL ATHLETIC CO. Budgeted Income Statement For the Month Ending March 31 Total selling expenses Administrative expenses Revenue from sales Cost of goods sold Gross profit Operating expenses: Selling expenses Administrative expenses Total operating expenses Income from operations Other revenue and expense: Interest revenue Interest expense Income before income tax Income tax expense I || | |
Transcribed Image Text:OBJ. 4 PR 22-3B Budgeted income statement and supporting budgets The budget director of Gold Medal Athletic Co., with the assistance of the controller, treasurer, production manager, and sales manager, has gathered the following data for use in developing the budgeted income statement for March: 1. GOLD MEDAL ATHLETIC CO. Sales Budget a. Estimated sales for March: Had For the Month Ending March 31 1,200 units at S$40 per unit 6,500 units at $160 per unit Unit Sales Unit Selling Batting helmet. Football helmet Product Volume Sales Batting helmet Football helmet Total revenue from sales (Continued) 2. GOLD MEDAL ATHLETIC CO. Production Budget For the Month Ending March 31 Units Batting Football Helmet Helmet Expected units to be sold Total units required Chapter 22 Buteting A Estimated inventories March 1 Total units to be produced Dect materials Plastic Foam ining Finished producte Batting helmet. Football helmet.. 40 units at 25 per unit 240 units at S77 per unit GOLD MEDAL ATHLETIC CO. e Desired inventories March 31: Direct Materials Purchases Budget r the Month Ending March 31 Direct materals Plastic Foam lining Finished products Batting helmet.. Football helmet... 50 units at 525 per unit 220units at $78 per unit 50 Ib Plastic Foam Lining 65 Ib (Ibs.) (Ibs.) Total d. Direct materials used in production In manufacture of batting helmet: Pounds required for production: 120 b per unit of product 0.50 Ib per unit of product Batting heimet Football heimet Plastic Foam lining In manufacture of football helmet Plastic . 3.50 lb per unit of product 1.50 b. per unit of product Total pounds required Total pounds to be purchased purchases and beginning and ending inventory of direct materials $6.00 per ib $4.00 per Ib Unit price (per pound) e. Anticipated cost Total direct materials to be purchased Plastic Foam lining.... E Direct labor requirements GOLD MEDAL ATHLETIC CO. Batting helmet Molding Department Assembly Department Football helmet Molding Department. . Assembly Department...... 0.20 hr. at $20 per hr. 0.50 hr. at $14 per hr. Direct Labor Cost Budget For the Month Ending March 31 Molding Assembly 0.50 hr. at $20 per hr. 1.80 hrs. at $14 per hr. Department Department Total Hours required for production: Batting helmet & Estimated factory overhead costs for Marcha $86.000 Football heimet $4.000 Power and light Insurance and property tax Total hours required Indirect factory wages Depreciation of plant and equipment 2,300 12,000 Hourly rate Total direct labor cost h. Estimated operating expenses for March: $184.300 Sales salaries expense 87,200 Advertising expense 32,400 GOLD MEDAL ATHLETIC c. Office salaries expense Depreciation expense-office equipment Telephone expense-selling Telephone expense-administrative Travel expense-selling Office supplies expense Miscellaneous administrative expense Factory Overhead Cost Budget For the Month Ending March 31 3,800 5,800 1,200 Indirect factory wages Depreciation of plant and equipment Power and light 9,000 1,100 1,000 Insurance and property tax Total L Estimated other income and expense for March: Interest revenue $940 Interest expense 872 GOLD MEDAL ATHLETIC CO. Cost of Goods Sold Budget For the Month Ending March 31 I Estimated tax rate: 30N Instructions 1. Prepare a sales budget for March. 2. Prepare a production budget for March. 3. Prepare a direct materials purchases budget for March. 4. Prepare a direct labor cost budget for March. Direct materials Direct materials purchases Cost of direct materials available for use Cost of direct materials placed in production Direct labor 5. Prepare a factory overhead cost budget for March. 6. Prepare a cost of goods sold budget for March. Work in process at the beginning of March is estimated to be $15,300, and work in process at the end of March is desired Factory overhead Total manufacturing costs Total work in process during period Cost of goods manufactured to be $14,800. 7. Prepare a selling and administrative expenses budget for March. 8. Prepare a budgeted income statement for March. Cost of finished goods available for sale Cost of goods sold Supporting calculations: Units Cost Total Finished goods inventory, March 1: Batting helmet GOLD MEDAL ATHLETIC CO. Football helmet Selling and Administrative Expenses Budget Total For the Month Ending March 31 Finished goods inventory, March 31: Batting helmet Selling expenses Football helmet Total Direct materials inventory. March 1 Plastic Foam lining Total Total selling expenses Administrative expenses: Direct materials inventory, March 31 Plastic Foam lining Total 7. GOLD MEDAL ATHLETIC CO. Selling and Administrative Expenses Budget For the Month Ending March 31 Total administrative expenses Total operating expenses Selling expenses: 1. GOLD MEDAL ATHLETIC CO. Budgeted Income Statement For the Month Ending March 31 Total selling expenses Administrative expenses Revenue from sales Cost of goods sold Gross profit Operating expenses: Selling expenses Administrative expenses Total operating expenses Income from operations Other revenue and expense: Interest revenue Interest expense Income before income tax Income tax expense I || | |
Part (1). Part (2). Gold Metal Athletic Co. Gold Metal Athletic Co. Sales Budget for the Month Ending March 31 Production Budget for the Month Ending March 31 Unit Batting Football Selling Price ($) Product Sales Volume Total Sa Particulars Helmet Helmet Batting Helmet Expected Units to be Sold 1200 40 48000 1200 6500 Football Helmet 6500 160 1040000 Less: Opening Stock -40 -240 $1,088, Add: Closing Stock 50 220 Total Units to be 1210 6480 Produced Step 2 Part (2) Part (3) Gold Metal Athletic Co. Gold Metal Athletic Co. Direct Material Purchase Budget for the Month Endin Production Budget for the Month Ending March 31 31 Batting Helmet Football Particulars Foam Helmet Plastic Lining Expected Units to be Pound Required For Production 1200 6500 Sold Batting Helmet 1452 605 Less: Opening Stock -40 -240 (1.2lb*1210 (0.50lb*1210 Add: Closing Stock 50 220 Football Helmet 22680 9720 (3.5lb*6480 (1.5lb*6480) Total Pound Required 24132lb 10325lb Less: Opening Stock (90lb) (80lb) Add: Closing Stock 50lb 65lb Direct labor cost budget Total Pounds to be purchased 24092 lb Unit Price ($ per pound) 10310 lb $6 $4 GMA Co. Direct labor cost budget For the month ending March 31 Molding department Total Direct material $144,552 $41,240 Purchased Assembly department Total Cost of goods sold Budget: Hours required for production: Batting helmet (a) 242 (1,210 × 0.20) 3,240 (6,480 × 0.50) 3,482 605 (1,210 × 0.50) 11,664 (6,480 GMA Co. Cost of goods sold budget For the month ending March 31 Football helmet (b) x1.8) 12,269 $14 Finished goods inventory, March 1, 2014 Work in process, March 1, 2014 Direct materials Direct materials inventory, March 1, 2014 Add: Direct material purchases Cost of direct material available for use Less: Direct material inventory, March 31, 2014 Cost of direct material placed in production $19,480 15.300 |Total hours required (a + b) Hourly rate (c) Total direct labor cost (a + b) x (c) $20 860 185,792 186,652 69,640 | 171,766 $241,406 560 186,092 (a) 241,406 (b) 104,300 (c) Direct labor Factory overhead Add: Total manufacturing cost 531,798 (a +b +c) 547,098 14,800 Total work in process during period Less: Work in process, March 31, 2014 Add: Cost of goods manufactured Cost of finished goods available for sale Less: Finished goods inventory, 31" March 2014 Cost of goods sold Factory overhead cost budget: 532,298 551,778 18,410 533,368 GMA Co. Factory overhead cost budget For the month ending March 31 Supporting calculations Finished goods inventory, March 1, 2014 Batting helmet Football helmet Total (a) (ax b) 40 240 $25 77 $1,000 18,480 19,480 Finished goods inventory, March 31, 2014 Batting helmet Football helmet Total Indirect factory wages Depreciation of plant and equipment Power and light Insurance and property taxes Total 86,000 12,000 4,000 2,300 104,300 1,250 17,160 |18,410 50 220 Direct materials inventory, March 1, 2014 Batting helmet Football helmet Total 540 320 860 90 80 4 Direct materials inventory, March 31, 2014 Batting helmet Football helmet Total 50 65 300 260 560
Transcribed Image Text:Part (1). Part (2). Gold Metal Athletic Co. Gold Metal Athletic Co. Sales Budget for the Month Ending March 31 Production Budget for the Month Ending March 31 Unit Batting Football Selling Price ($) Product Sales Volume Total Sa Particulars Helmet Helmet Batting Helmet Expected Units to be Sold 1200 40 48000 1200 6500 Football Helmet 6500 160 1040000 Less: Opening Stock -40 -240 $1,088, Add: Closing Stock 50 220 Total Units to be 1210 6480 Produced Step 2 Part (2) Part (3) Gold Metal Athletic Co. Gold Metal Athletic Co. Direct Material Purchase Budget for the Month Endin Production Budget for the Month Ending March 31 31 Batting Helmet Football Particulars Foam Helmet Plastic Lining Expected Units to be Pound Required For Production 1200 6500 Sold Batting Helmet 1452 605 Less: Opening Stock -40 -240 (1.2lb*1210 (0.50lb*1210 Add: Closing Stock 50 220 Football Helmet 22680 9720 (3.5lb*6480 (1.5lb*6480) Total Pound Required 24132lb 10325lb Less: Opening Stock (90lb) (80lb) Add: Closing Stock 50lb 65lb Direct labor cost budget Total Pounds to be purchased 24092 lb Unit Price ($ per pound) 10310 lb $6 $4 GMA Co. Direct labor cost budget For the month ending March 31 Molding department Total Direct material $144,552 $41,240 Purchased Assembly department Total Cost of goods sold Budget: Hours required for production: Batting helmet (a) 242 (1,210 × 0.20) 3,240 (6,480 × 0.50) 3,482 605 (1,210 × 0.50) 11,664 (6,480 GMA Co. Cost of goods sold budget For the month ending March 31 Football helmet (b) x1.8) 12,269 $14 Finished goods inventory, March 1, 2014 Work in process, March 1, 2014 Direct materials Direct materials inventory, March 1, 2014 Add: Direct material purchases Cost of direct material available for use Less: Direct material inventory, March 31, 2014 Cost of direct material placed in production $19,480 15.300 |Total hours required (a + b) Hourly rate (c) Total direct labor cost (a + b) x (c) $20 860 185,792 186,652 69,640 | 171,766 $241,406 560 186,092 (a) 241,406 (b) 104,300 (c) Direct labor Factory overhead Add: Total manufacturing cost 531,798 (a +b +c) 547,098 14,800 Total work in process during period Less: Work in process, March 31, 2014 Add: Cost of goods manufactured Cost of finished goods available for sale Less: Finished goods inventory, 31" March 2014 Cost of goods sold Factory overhead cost budget: 532,298 551,778 18,410 533,368 GMA Co. Factory overhead cost budget For the month ending March 31 Supporting calculations Finished goods inventory, March 1, 2014 Batting helmet Football helmet Total (a) (ax b) 40 240 $25 77 $1,000 18,480 19,480 Finished goods inventory, March 31, 2014 Batting helmet Football helmet Total Indirect factory wages Depreciation of plant and equipment Power and light Insurance and property taxes Total 86,000 12,000 4,000 2,300 104,300 1,250 17,160 |18,410 50 220 Direct materials inventory, March 1, 2014 Batting helmet Football helmet Total 540 320 860 90 80 4 Direct materials inventory, March 31, 2014 Batting helmet Football helmet Total 50 65 300 260 560
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