Required: Complete the following budget schedules. 1. Sales budget. 2. Production budget (in sets). 3. Raw-material purchases. 4. Direct-labor budget.

FINANCIAL ACCOUNTING
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Chapter1: Financial Statements And Business Decisions
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PR 9-37 (Algo) Completion of Budget Schedules (LO 9-3, 9-5, 9-6)
Scholastic Furniture, Incorporated, manufactures a variety of desks, chairs, tables, and shelf units that are sold to public school
systems throughout the Midwest. The controller of the company's Desk Division is currently preparing a budget for the second quarter
of the year. The following sales forecast has been made by the division's sales manager.
April
May
June
13,000 desk-and-chair sets
15,000 desk-and-chair sets
18,000 desk-and-chair sets
Each desk-and-chair set requires 12 board feet of pine planks and 1.5 hours of direct labor. Each set sells for $50. Pine planks cost
$.50 per board foot, and the division ends each month with enough wood to cover 10 percent of the next month's production
requirements. The division incurs a cost of $22 per hour for direct-labor wages and fringe benefits. The division ends each month with
enough finished-goods inventory to cover 20 percent of the next month's sales.
Required:
Complete the following budget schedules.
1. Sales budget.
2. Production budget (in sets).
3. Raw-material purchases.
4. Direct-labor budget.
Complete this question by entering your answers in the tabs below.
Required 1 Required 2 Required 3 Required 4
Sales budget:
April
May
June
Sales (in sets)
13,000
Sales price per set
$
50
Sales revenue
$
650,000 $
0 $
0
< Required 1
Required 2 >
Transcribed Image Text:PR 9-37 (Algo) Completion of Budget Schedules (LO 9-3, 9-5, 9-6) Scholastic Furniture, Incorporated, manufactures a variety of desks, chairs, tables, and shelf units that are sold to public school systems throughout the Midwest. The controller of the company's Desk Division is currently preparing a budget for the second quarter of the year. The following sales forecast has been made by the division's sales manager. April May June 13,000 desk-and-chair sets 15,000 desk-and-chair sets 18,000 desk-and-chair sets Each desk-and-chair set requires 12 board feet of pine planks and 1.5 hours of direct labor. Each set sells for $50. Pine planks cost $.50 per board foot, and the division ends each month with enough wood to cover 10 percent of the next month's production requirements. The division incurs a cost of $22 per hour for direct-labor wages and fringe benefits. The division ends each month with enough finished-goods inventory to cover 20 percent of the next month's sales. Required: Complete the following budget schedules. 1. Sales budget. 2. Production budget (in sets). 3. Raw-material purchases. 4. Direct-labor budget. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Sales budget: April May June Sales (in sets) 13,000 Sales price per set $ 50 Sales revenue $ 650,000 $ 0 $ 0 < Required 1 Required 2 >
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