Joxy company is considering its forthcoming projections for budget purposes. Roxy's projected sales for the first quarter of the comingyear and beginning and ending inventory data are as follows:Sales @$15 per unitBeginning inventoryDesired ending inventory$750,00015,000 units12,000 unitsEach unit is assembled and then painted. Each unit requires 1/2 pound of metal which costs $2.50 per pound. The beginning inventoryof metal is 2,000 pounds. Joxy wants to have 3,000 pounds in inventory at the end of the quarter.Each unit requires 2 feet of lumber as well. Lumber is purchased for $2.00 per foot. The beginning inventory of lumber is 4,000 feet oflumber. Joxy want to have 3,000 feet of lumber on hand at the end of the quarter. Each unit requires 45 minutes to assemble andpaint. Direct labor is billed at a rate of $10.50 per hour.How many units need to produce during the first quarter of the year?O a. 62,000 unitsO b. 50,000 unitsO c. 53,000 unitsO d. 47,000 unitsO e. some other figureO Type here to šearch

Production budget in the business says that how many units needs to be produced in order to coverup…

Answered: Joxy company is considering its…

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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Use the information below for Mandy Corporation to answer the question that follow. Mandy Corporation sells a single product. Budgeted sales for the year are anticipated to be 696,000 units, estimated beginning inventory is 106,000 units, and desired ending inventory is 89,000 units. The quantities of direct materials expected to be used for each unit of finished product are given below.Material A: 0.50 lb. per unit @ $0.71 per poundMaterial B: 1.00 lb. per unit @ $1.89 per poundMaterial C: 1.20 lb. per unit @ $0.84 per poundThe dollar amount of Material B used in production during the year is
Sunland Company estimates its sales at 180000 units in the first quarter and that sales will increase by 17000 units each quarter over the year. They have, and desire, a 25% ending inventory of finished goods. Each unit sells for $25. 40% of the sales are for cash. 70% of the credit customers pay within the quarter. The remainder is received in the quarter following sale. Cash collections for the third quarter are budgeted at O $5273500. O $3026500. O $4387000. O $6057389.
You have been presented with the following information by the Budget Committee of the organization in which you work: Sales forecast January – April 2020 Details Study lamps Accent lights Expected selling price per unit $300 $500 Sales Volume forecast: January 2 000 units 1 000 units February 2 500 units 1 500units March 3 000 units 1 000 units April 2 000 units 1 200 units Additional information: (i) Beginning inventories: study lamps 300 units; accent lights 200 units. (ii) The ending inventory for each product at the end of each month is to be maintained at 20% of the budgeted sales for the next month. (iii) To make one study lamp, four (4) units of raw material lumber are used, while five (5) units of raw material aluminum are used to make one accent lights. Required: The Sales Budget for both products for January to March 2020. The Direct Material usage budget.
The following is a schedule of the projected unit sales of Western Company, which manufactures casual wear. Each unit sells for $25. The company began the period with a beginning accounts receivable balance of $10,000. Choose the correct answer from the options provided. Budgeted unit sales Percentage of sales collected in the quarter of the sale Percentage of sales collected in the quarter after the sale. Quarter First Second Third Fourth 1,500 1,300 1,400 1,300 Knowledge Check 01 What is the amount of budgeted sales revenue for the fourth quarter? O $32,500 $33,750 O $35,000 $37,500 $8,125 O $8,750 O $9,375 O $28,125 Year 5,500 75% 25% Knowledge Check 02 What is the amount of cash that is expected to be collected during the second quarter as a result of sales made during the first quarter?
1. WFU Corporation expects the unit sales of Product MSA to increase by 10%, while Product MA will increase by 5% of last year's sales. The company will increase the price of Product MSA by $10, while Product MA will remain the same. Prepare the budgeted revenue for the upcoming year, 20Y6 with the information below for 20Y5. Product MSA Product MA 2. WFU Corporation has a desired ending inventory of 5% of the upcoming year's sales for each year. In 20Y7, the company expects to sell 20,000 of Product MSA and 12,000 of Product MA. Prepare the company's production budget for 2016. 3. Each finished good of Product MSA and Product MA requires two materials, Product M and Product A, which are measured in pounds. Product M costs $7.50 per pound, and Product A costs $5.00 per pound. The required pounds of material per finished good and beginning and ending inventories are shown. Prepare the 20Y6 direct materials purchases budget. Product MSA Product MA Beginning inventory Ending inventory…
Austen Foods produces specialty soup sold in jars. The projected sales in dollars and jars for each quarter of the upcoming year are as follows: Austen anticipates selling 222,000 jars with total sales revenue of $267,000 in the first quarter of the year following the year given in the preceding table. Austen has a policy that the ending inventory of jars must be 30% of the following quarter's sales. Total sales Number of jars revenue sold Requirement Prepare a production budget for the year that shows the number of jars to be produced each quarter and for the year in 1st quarter.... $ 185,000 152,500 total. 2nd quarter $ 211,000 180,500 3rd quarter 2$ 257,000 210,000 4th quarter $ 193,000 160,000 ..... Prepare the production budget by first calculating the total units needed, then calculate the units to produce. Austen Foods Production Budget For the Quarters in the Upcoming Year Quarter 1 Quarter 2 Quarter 3 Quarter 4 Year Unit sales Plus: Desired ending inventory Total needed Less:…
Beckett Manufacturing produces self-watering planters for use in upscale retail establishments. Sales projections for the first five months of the upcoming year show the estimated unit sales of the planters each month to be as follows: (Click the icon to view additional information.) Inventory at the start of the year was 850 planters. The desired inventory of planters at the end of each month should be equal to 25% of the following month's budgeted sales. Each planter requires four pounds of polypropylene (a type of plastic). The company wants to have 20% of the polypropylene required for next month's production on hand at the end of each month. The polypropylene costs $0.10 per pound. Read the requirements. Data table For the Months of January through March January February March Quarter Number of planters to be sold Units to be produced 3,425 3,400 3,525 10,350 January. 3,400 4 Multiply by: Quantity of direct materials needed per unit Quantity needed for production February 3,500…
At January 1, 2022, Oriole Company has beginning inventory of 3000 surfboards. Oriole estimates it will sell 11000 units during the first quarter of 2022 with a 10% increase in sales each for the following quarters. Oriole's policy is to maintain an ending finished goods inventory equal to 25% of the next quarter's sales. Each surfboard costs $100 and is sold for $155. What is the budgeted sales revenue for the third quarter of 2022 $2247500 $2063050 $13310 5542500
Filmore Enterprises reports the year-end information from December 31, 2023 as follows: Sales (90,000 units) $1,170,000 Cost of goods sold $409,500 Gross margin $760,500 Operating expenses $620,100 Operating income $140,400 Filmore Enterprises is developing the next twelve- month budget. In January 2024, the company would like to increase selling prices by 3%. As a result, it is expected there will be a decrease in sales volume of 7%. All other operating expenses are expected to remain constant. Assume that COGS is a variable cost and that operating expenses are a fixed cost. Do not enter dollar signs or commas in the input boxes. Round all answers to the nearest whole number. What is the budgeted operating income for the year? Budgeted Sales $Answer Budgeted cost of goods sold $Answer Budgeted gross margin $Answer Operating expenses $Answer Budgeted operating income $Answer
Use the information below for Mandy Corporation to answer the question that follow. Mandy Corporation sells a single product. Budgeted sales for the year are anticipated to be 643,000 units, estimated beginning inventory is 105,000 units, and desired ending inventory is 84,000 units. The quantities of direct materials expected to be used for each unit of finished product are given below.Material A: 0.50 lb. per unit @ $0.61 per poundMaterial B: 1.00 lb. per unit @ $2.37 per poundMaterial C: 1.20 lb. per unit @ $0.86 per poundThe dollar amount of Material C used in production during the year is a.$577,714 b.$770,285 c.$706,094 d.$641,904
King purchases two components for its primary product. They need 3 of Component A and 2 of Component B for each unit of the primary product. Component A costs $3; Component B costs $5. Other facts: Forecasted Primary Product Production: January: 19,500 units February: 19,600 units March: 23,000 units April: 27,000 units Ending component inventory should equal 20% of next month’s production needs. Assume December’s ending inventory met this requirement. Calculate purchases for both Components in both units and dollars by month for Q1.
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