I took a picture of what i have so far, I am having trouble with the direct material budget. 3. The jackets require two direct materials: silk fabric and viscose fabric for lining.SilkSilk fabric is purchased by the yard. 1.75 yards of silk fabric are required for eachjacket produced. Management desires to have materials on hand at the end of eachmonth equal to 15 percent of the following month's jacket production needs. Use the@ROUND function to round to the nearest whole number the number of yards1of silk desired in ending inventory. The beginning inventory of silk fabric, July2023, is expected to be 220 yards. Silk fabric is expected to cost $25.00 per yard. Usethe @ROUND function to round to the nearest whole number the number ofyards of silk to purchase (DM to purchase). (NOTE: budgeted production inOctober is required in order to complete the direct materials budget for September.)Viscose for liningViscose fabric is purchased by the roll of 10 yards. 2.2 yards of viscose fabric arerequired for each jacket produced. Management desires to have viscose fabric onhand at the end of each month equal to 11 percent of the following month'sproduction needs. Use the @ROUND function to round to the nearest wholenumber the number of viscose yards desired in ending inventory. The beginninginventory, July 2023, is expected to be 187 yards. The roll of 10 yards is expected tocost $110. Use the @ROUND function to round to the nearest whole number thenumber of viscose fabric yards to purchase (DM to purchase). (NOTE: budgetedproduction in October is required to complete the direct materials budget forSeptember.)Prepare a Direct Materials budget. Also, because two direct materials are requiredfor production - silk and viscose fabric - you will need a separate schedule foreach direct material. Sales BudgetUnit SalesUnit PriceSales RevenueCash SaleCredit SaleTotalProduction Budget0.12TotalDirect Material BudgetTotalDirect Labor Budget$$0.10 $0.901.15 $5801.15 $667.00 $66.70 $600.30667.00 $July83667.00750JulyJulyJuly6001.15 $690.00 $69.00 $621.00690.00 $August90690.00780AugustAugustAugust6501.15 $747.50 $74.75 $672.75747.50 $September117747.50865SeptemberSeptemberSeptember8501.15977.5097.75 $879.75977.50 $October138977.501,116OctoberOctober$$October1,0001.151,150.00115.001,035.001,150.00November1,150.001,150NovemberNovember0November0O

A direct materials budget is one of the budget which a company prepares so that the materials which…

Answered: Prepare a Direct Materials budget.…

Prepare a Direct Materials budget. Also, because two direct materials are required for production - silk and viscose fabric - you will need a separate schedule for each direct material.

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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1. A budget is a detailed financial plan that quantifies future expectations and actions relative to acquiring and using resources. a. True b. False 2. Budgets should not be used to provide managers with “pre-approval” for the execution of spending plans. a. True b. False 3. A flexible budget is not designed to change with changes in activity level. a. True b. False 4. The production budget comes before the materials purchases budget. a.True b. False 5. The starting point for the master budget is an assessment of anticipated production next year. a. False b. True
Suppose for a moment that you are a production manager in a manufacturing company and you just received a poor performance rating for not meeting your budget. If you were slightly over budget, identify at least two possible reasons for the budget variance. Please provide specific examples.
45. Using the flexible (as opposed to a static) budget is unlikely for which of the following? Group of answer choices a. Costs of the product distribution department. b. Costs of the manufacturing department. c. Costs of the general finance department. d. Costs of the material receiving department.
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When developing a budget we focus first on sales. Why do be begin with sales? What are some of the factors we should consider when preparing the sales budget?
In the proper budget equation,income can someone be less than your combined expenses and saving. True or false
Read the attached article on Zero Based Budgeting at Shell and answer the following questions: 1. The article refers to a “substantial impact” on the company’s cost budget; how significant was the expected reduction? 2. What aspects of the business were “off limits” during this exercise? 3. Describe what YOU think “cost creep” means and how it may arise? 4. How was the program first established? 5. Did the exercise require a lot of resources? 6. What three fundamental questions were asked? 7. The results of the analysis were presented to the company’s leadership. What happened next? 8. The article refers to a “three-step implementation.” What were the three steps? 9. Briefly describe what they assumed to be the “must-have” activity? 10. What categories of “nice to have” activities resulted? 11. What items made their decisions more tough? 12. The article talks about rebalancing the work that is managed in-house and work that is contracted out; provide examples of activities that were…
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These are True/False questions. ____ 6. If the total unit cost of manufacturing Product Y is currently $36 and the total unit cost after modifying the style is estimated to be $48, the differential cost for this situation is $12. ____ 7. A process whereby the effect of fluctuations in level of activity is built into the budgeting system is referred to as flexible budgeting. ____ 8. In an investment center, the manager has the responsibility and the authority to make decisions that affect not only costs and revenues, but also the plant assets invested in the center. ____ 9. The capital expenditures budget summarizes future plans for acquisition of fixed assets. ____ 10. The process by which management plans, evaluates, and controls long-term investment decisions involving fixed assets is called capital investment analysis.
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i don't understand the cash budget can you do it again?