Scarborough Corporation manufactures and sells two products: D-One and D-Two. In July 2018, Scarborough budget department gathered the following data to prepare budgets for 2019: 2019 Projected Sales: Product D-One |D-Two Units 60,000 40,000 Price $165 $250 2019 Inventories in Units: Product D-One D-Two Expected Target January 1, 2019 20,000 8,000 December 31, 2019 25,000 9,000 The following direct materials are used in the two products: Direct material A Amount Used per Unit D-One 4 Unit D-Two kilogram kilogram each 5 3 1 Projected data for 2019 with respect to direct materials are as follows: Expected Inventories January 1, 2019 32,000 kg 29,000 kg 6,000 units Direct material Anticipated Purchase price $12 Target Inventories December 31, 2019 36,000 kg 32,000 kg 7,000 units A B 3 Projected direct labour requirements and rates for 2019 are as follows: Product D-One D- Two Hours per unit 2 3 Rate per hour $12 16 Based on the preceding projections and budget requirements for D-One and D-Two, prepare the following budgets for 2019. Required: a) Sales budget b) Production budget c) Direct material purchases budget (in quantities)

Scarborough Corporation manufactures and sells two products: D-One and D-Two. In July 2018, Scarborough budget department gathered the following data to prepare budgets for 2019: 2019 Projected Sales: Product D-One |D-Two Units 60,000 40,000 Price $165 $250 2019 Inventories in Units: Product D-One D-Two Expected Target January 1, 2019 20,000 8,000 December 31, 2019 25,000 9,000 The following direct materials are used in the two products: Direct material A Amount Used per Unit D-One 4 Unit D-Two kilogram kilogram each 5 3 1 Projected data for 2019 with respect to direct materials are as follows: Expected Inventories January 1, 2019 32,000 kg 29,000 kg 6,000 units Direct material Anticipated Purchase price $12 Target Inventories December 31, 2019 36,000 kg 32,000 kg 7,000 units A B 3 Projected direct labour requirements and rates for 2019 are as follows: Product D-One D- Two Hours per unit 2 3 Rate per hour $12 16 Based on the preceding projections and budget requirements for D-One and D-Two, prepare the following budgets for 2019. Required: a) Sales budget b) Production budget c) Direct material purchases budget (in quantities)

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Ivanhoe, Inc. produces men's shirts. The following budgeted and actual amounts are for 2022: Cost Direct materials Direct labor Fixed overhead Budget at 2,650 units $66,250 71.550 39.050 Actual Amounts at 2,950 units $76,500 78,750 38,200
Point, Inc. produces men's shirts. The following budgeted and actual amounts are for 2019: Cost Budget at 3,000 units Actual Amounts at 2,800 units $75,000 87,000 Direct materials Direct labor Fixed overhead Instructions Prepare a performance report for Point, Inc. for the year. Direct materials Direct labor Fixed overhead Total costs F3 + F4 Ⓡ 3 # 4 $ F5 36,000 5 % F6 Budget F7 C Manufacturing Performance Budget Report For the Year Ended December 31, 2019 6 A POINT, INC. Search F8 $75,000 7 & 78,000 34,500 0: Actual F9 60 8 * Differences F/U LG F10 9 ( F11 - 0) F12 + Prt Sc ScrLk Ins = +
(The following information applies to the questions displayed below.] Shadee Corporation expects to sell 600 sun shades in May and 800 in June. Each shade sells for $180. Shadee's beginning and ending finished goods inventories for May are 75 and 50 shades, respectively. Ending finished goods inventory for June will be 60 shades. Required: 1. Determine Shadee's budgeted total sales for May and June, 2. Determine Shadee's budgeted production in units for May and June. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Determine Shadee's budgeted total sales for May and June Budgeted Total Sales May Juna
For the purposes of calculating COGS and Closing Inventory of finished goods, cost per unit forJanuary 2021 is $670 for the Premium wardrobe and $1,480 for the De Luxe wardrobe. Prepare the following budgets for January 2021: Revenues budget Production budget in units Direct materials usage budget and direct materials purchases budget (both budgets in units and $) Direct manufacturing labour budget Manufacturing overhead budget Ending inventories budget (direct materials and finished goods) Cost of goods sold budget For each budget, prepare by product (Premium and De Luxe) and in total.Format of the spreadsheet makes it easy to read and distinguishes clearly between the input and output cells
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.
Fisher-Price manufactures two products, Bassinet and Swing, which use raw materials, pins and clips. One bassinet uses 4 units of pins and 3 units of clips. One swing uses 2 units of pins and 6 units of clips. One pin is expected to cost $7 and one clip is expected to cost $5. Sales and finished goods inventory budget for the year 2020 are as follows: Bassinets Swings Budgeted sales 5,000 units Budgeted sales 7.000 units Opening inventory 1,000 units Opening inventory 2,000 units Closing inventory 600 units Closing inventory 800 units Selling price $400 Selling price $300 Raw material inventory budget for the year 2020 are as follows: Pins Clips Opening inventory 2,400 units Opening inventory 3,300 units Closing inventory 500 units Closing inventory 600 units The warehouse and stores managers have suggested that a provision should be made for damages and deterioration of items held in store, as…
Mary's Baskets Company expects to manufacture and sell 23,000 baskets in 2019 for $6 each. There are 3,000 baskets in beginning finished goods inventory with target ending inventory of 3,000 baskets. The company keeps no work- in-process inventory. What amount of sales revenue will be reported on the 2019 budgeted income statement? O A. $120,000 B. $156,000 OC. $102,000 OD. $138,000 Calculator Next
Ghu
answer in text form please (without image)
1. ABC Company is budgeting sales of 110,000 units of Product R for the month of November 2023. Production of one unit of R requires two units of Material A and three units of Material B. Actual inventory units on November 1 and budgeted inventory units on November 30 are as follows: Actual inventory November 1 Budgeted inventory at November 30 20,000 10,000 18,000 25,000 22,000 24,000 How many units of Material A is ABC planning to purchase during November 2023? Show your solution. 2. Ashton Appliances Inc. is preparing a budget for 2024 by quarters. Budget data appear as follows: Product R Material A Material B 1st quarter 2nd quarter 3rd quarter 4th quarter 1st quarter, 2025 Budgeted sales Materials purchases Beginning materials P860,000 940,000 990,000 960,000 $280,000 360,000 400,000 300,000 P75,000 65,000 50,000 45,000 40,000 Direct labor is budgeted at P140,000 each quarter with factory overhead estimated at 200 percent of direct labor costs. Selling and general expenses are…
Vibrant Inc. manufactures two models of speakers, Rumble and Thunder. Based on the following production and sales data for June, prepare (a) a sales budget and (b) a production budget: Rumble Thunder Estimated inventory (units), June 1 258 70 Desired inventory (units), June 30 296 61 Expected sales volume (units): North Region 3,250 3,650 South Region 5,200 4,500 Unit sales price $95 $185 a. Prepare a sales budget. Vibrant Inc. Sales Budget For the Month Ending June 30 Unit Unit Total Sales Selling Sales Volume Price Product and Area Model Rumble: North Region South Region Total Model Thunder: North Region South Region Total Total revenue from sales b. Prepare a production budget. Vibrant Inc. Production Budget For the Month Ending June 30 Units Units Model Model Rumble Thunder Expected units to be sold Total units required Total units to be produced
Softlan Limited manufactures one product known as Eco1. The following information relates to the preparation of the budget for the year to 31 March 2020: 1) Sales budget details for product Eco1: Expected selling price per unit: RM100. Expected sales in units: 10,000. All sales are on credit terms. 2) Eco1 requires 5 units of raw material E and 10 units of raw material C. E is expected to cost RM3 per unit and C RM4 per unit. All goods are purchased on credit terms. 3) Two departments are involved in producing Eco1: machining and assembly. The following information is relevant: Direct labour per unit of product (hours) Direct labour rate per hour RM Machining 1.00 6 Assembling 0.50 8 4) The finished production overhead costs are expected to amount to RM100,000. 5) At 1 April 2019, 800 units of Eco1 are expected to be in stock at a value of RM52,000, 4,500 units of raw material E at a value of RM13,500, and 12,000 units of raw materials at a value of RM48,000. Stocks of both finished…