The Bakery Department of Culbert Dessert Corporation has submitted the following forecast of fruit pies to be produced by quarter for the upcoming fiscal year. Units to be produced First Quarter 8,300 Second Third Fourth Quarter Quarter Quarter 11,300 9,300 13,300 Each unit requires 0.60 direct labour-hours, and direct labour-hour workers are paid $9.00 per hour. In addition, the variable manufacturing overhead rate is $1.50 per direct labour-hour. The fixed manufacturing overhead is $23,750 per quarter. The only non-cash element of manufacturing overhead is depreciation, which is $7,150 per quarter. Required: 1. Prepare the company's direct labour budget for the upcoming fiscal year, assuming that the direct labour workforce is adjusted each quarter to match the number of hours required to produce the forecast number of units produced.
The Bakery Department of Culbert Dessert Corporation has submitted the following forecast of fruit pies to be produced by quarter for the upcoming fiscal year. Units to be produced First Quarter 8,300 Second Third Fourth Quarter Quarter Quarter 11,300 9,300 13,300 Each unit requires 0.60 direct labour-hours, and direct labour-hour workers are paid $9.00 per hour. In addition, the variable manufacturing overhead rate is $1.50 per direct labour-hour. The fixed manufacturing overhead is $23,750 per quarter. The only non-cash element of manufacturing overhead is depreciation, which is $7,150 per quarter. Required: 1. Prepare the company's direct labour budget for the upcoming fiscal year, assuming that the direct labour workforce is adjusted each quarter to match the number of hours required to produce the forecast number of units produced.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Please do not give solution in image format thanku
Transcribed Image Text:3
The Bakery Department of Culbert Dessert Corporation has submitted the following forecast of fruit pies to be produced by quarter for
the upcoming fiscal year.
Units to be produced
First
Quarter
8,300
Units to be produced
Direct labour time per unit (hours)
Total direct labour-hours needed
Direct labour cost per hour
Total direct labour cost
Second
Third
Quarter Quarter
11,300 9,300
Each unit requires 0.60 direct labour-hours, and direct labour-hour workers are paid $9.00 per hour.
In addition, the variable manufacturing overhead rate is $1.50 per direct labour-hour. The fixed manufacturing overhead is $23,750 per
quarter. The only non-cash element of manufacturing overhead is depreciation, which is $7,150 per quarter.
Required:
1. Prepare the company's direct labour budget for the upcoming fiscal year, assuming that the direct labour workforce is adjusted each
quarter to match the number of hours required to produce the forecast number of units produced.
Fourth
Quarter
13,300
Culbert Dessert Corporation
Direct Labour Budget
Second
Quarter
First
Quarter
Third
Quarter
Fourth
Quarter
Year
Transcribed Image Text:3
Total direct labour cost
2. Prepare the company's manufacturing overhead budget. As per Schedule 5, your manufacturing overhead budget should also
include the budgeted cash disbursements for overhead.
Budgeted direct labour-hours
Variable overhead rate
Variable manufacturing overhead
Fixed manufacturing overhead
Total manufacturing overhead
Cash disbursements for manufacturing overhead
Culbert Dessert Corporation
Manufacturing Overhead Budget
First
Quarter
$
$
Second
Quarter
0 $
0
0 $
Third
Quarter
0 $
0
0 $
Fourth
Quarter
0 $
0
0 $
0 $
0
0 $
Year
0
0
0
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 3 steps with 4 images
Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education