**Homer, Inc. Direct Labor Budget for the Year Ended December 31**| | First Quarter | Second Quarter | Third Quarter | Fourth Quarter | Total ||----------------------------|---------------|----------------|---------------|----------------|--------|| **Budgeted kits to be produced** | 350 | 220 | 150 | 300 | 1,020 || **Direct labor hours per unit** | 0.50 | 0.50 | 0.50 | 0.50 | 0.50 || **Direct labor hours needed for production** | 175.00 | 110.00 | 75.00 | 150.00 | 510.00 || **Direct labor cost per hour** | $50 | $50 | $50 | $50 | $50 || **Budgeted direct labor cost** | $8,750 | $5,500 | $3,750 | $7,500 | $25,500 |---**Homer, Inc. Manufacturing Overhead Budget for the Year Ended December 31**| | First Quarter | Second Quarter | Third Quarter | Fourth Quarter | Total ||------------------------------------|---------------|----------------|---------------|----------------|--------|| **Budgeted kits to be produced** | 350 | 220 | 150 | 300 | 1,020 || **VOH cost per kit** | $0.30 | $0.30 | $0.30 | $0.30 | $0.30 || **Budgeted VOH** | $105.00 | $66.00 | $45.00 | $90.00 | $306.00|| **Budgeted FOH** | $155.00 | $155.00 | $155.00 | $155.00 | $620.00|| **Budgeted manufacturing overhead costs** | $260.00 | $221.00 | $200.00 | $245.00 | $926.00|| **Direct labor hours** | 175.00 | 110.00 | 75.00 | 150.00 | **Transcription for Educational Website:**Homer, Inc. manufactures model airplane kits. Direct materials are six ounces of plastic per kit, and the plastic costs $4 per ounce. Indirect materials are considered insignificant and are not included in the budgeting process. Each kit requires 0.50 hours of direct labor at an average cost of $50 per hour. Manufacturing overhead is allocated using direct labor hours as the allocation base. The company has prepared the following budgets:Homer projects sales of 200, 100, 200, and 100 kits for the next four quarters. Homer has no kits in beginning inventory. Determine the cost per kit to manufacture the model airplane kits. Round amounts to two decimal places.---**Determine the cost per kit to manufacture the model airplane kits. (Round your answers to two decimal places, $X.XX.)**1. **Variable Input Box**2. **Variable Input Box**3. **Variable Input Box****Total projected manufacturing cost per kit**---**Reference:****Homer, Inc. Direct Materials Budget For the Year Ended December 31**| | First Quarter | Second Quarter | Third Quarter | Fourth Quarter | Total ||--------------------------|---------------|----------------|---------------|----------------|--------|| Budgeted kits to be produced | 350 | 220 | 150 | 300 | 1,020 || Direct materials (ounces) per kit | 6 | 6 | 6 | 6 | 6 || Direct materials needed for production | 2,100 | 1,320 | 900 | 1,800 | 6,120 || Plus: Desired direct materials in ending inventory | 132 | 90 | 180 | 290 | 290 || Total direct materials needed | 2,232 | 1,410 | 1,080 | 2,090 | 6,410 || Less: Direct materials in beginning inventory | 950 | 132 | 90 | 180 | 950 || Budgeted purchases of direct materials | 1,282 | 1,278 | 990 | 1,910 | 5,460 || Direct materials cost per ounce | $4 | $4 |

The manufacturing cost per unit of product includes all expenses incurred to produce, store, and…

Homer projects sales of 200, 100, 200, and 100 kits for the next four quarters. Homer has no kits in beginning inventory. Determine the cost per kit to manufacture the model airplane kits. Prepare a of goods sold budget for the year. Round amounts to two decimal places. C Determine the cost per kit to manufacture the model airplane kits. (Round your answers to two decimal places, $X.XX.) Total projected manufacturing cost per kit

Homer projects sales of 200, 100, 200, and 100 kits for the next four quarters. Homer has no kits in beginning inventory. Determine the cost per kit to manufacture the model airplane kits. Prepare a of goods sold budget for the year. Round amounts to two decimal places. C Determine the cost per kit to manufacture the model airplane kits. (Round your answers to two decimal places, $X.XX.) Total projected manufacturing cost per kit

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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