Renka’s Heaters selected data for October 2017 are presented here (in millions):Direct materials inventory 10/1/2017 $ 105 Direct materials purchased $365 Direct materials used $385 Total manufacturing overhead costs $450 Variable manufacturing overhead costs$ 265 Total manufacturing costs incurred during October 2017 $1,610 Work-in-process inventory 10/1/2017 $230 Cost of goods manufactured $1,660 Finished-goods inventory 10/1/2017 $130 Cost of goods sold $1,770Calculate the following costs: 1. Direct materials inventory 10/31/2017 2. Fixed manufacturing overhead costs for October 2017 3. Direct manufacturing labor costs for October 2017 4. Work-in-process inventory 10/31/2017 5. Cost of finished goods available for sale in October 2017 6. Finished goods inventory 10/31/2017
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.
Renka’s Heaters selected data for October 2017 are presented here (in millions):
Direct materials inventory 10/1/2017 $ 105
Direct materials purchased $365
Direct materials used $385
Total manufacturing overhead costs $450
Variable manufacturing overhead costs$ 265
Total manufacturing costs incurred during October 2017 $1,610
Work-in-process inventory 10/1/2017 $230
Cost of goods manufactured $1,660
Finished-goods inventory 10/1/2017 $130
Cost of goods sold $1,770
Calculate the following costs:
1. Direct materials inventory 10/31/2017
2. Fixed manufacturing overhead costs for October 2017
3. Direct
4. Work-in-process inventory 10/31/2017
5. Cost of finished goods available for sale in October 2017
6. Finished goods inventory 10/31/2017
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