Operating Budget and
The Operating budgets are the budget which have been prepared for the coming year for various departments to be taken as target to be achieved for various departments. The Initial step in preparation of Operating budget is the preparation of Sales Budget and on the basis of this budget, the production budget is prepared. After making the production and sales budget, various other cost budget shall be prepared like labour, manufacturing
When all the operating budgets are prepared, then the cash budget is prepared on that basis after making analysis of cash receipts and payments during the period.
Requirement1:
The preparation of sales budget.
Requirement2:
The preparation of Production budget.
Requirement3:
The Statement showing expected cash receipts during the period.
Requirement4:
The Preparation of Material Purchase budget in $.
Requirement5:
The Statement showing expected disbursals for material purchases.
Requirement6:
The Preparation of Budgeted labour cost.
Requirement7.
The preparation of Manufacturing Overheads cost budget.
Requirement8.
The Preparation of Selling and admin overheads.
Requirement9.
The Preparation of Cost of Goods sold budget.
Requirement10.
The preparation of cash budget.
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Chapter 24 Solutions
MyLab Accounting with Pearson eText -- Access Card -- for Horngren's Accounting
- Mead Incorporated began operations in Year 1. Following is a series of transactions and events involving its long-term debt investments in available-for-sale securities. Year 1 January 20 Purchased Johnson & Johnson bonds for $20,500. February 9 Purchased Sony notes for $55,440. June 12 Purchased Mattel bonds for $40,500. December 31 Fair values for debt in the portfolio are Johnson & Johnson, $21,500; Sony, $52,500; and Mattel, $46,350. Year 2 April 15 Sold all of the Johnson & Johnson bonds for $23,500. July 5 Sold all of the Mattel bonds for $35,850. July 22 Purchased Sara Lee notes for $13,500. August 19 Purchased Kodak bonds for $15,300. December 31 Fair values for debt in the portfolio are Kodak, $17,325; Sara Lee, $12,000; and Sony, $60,000. Year 3 February 27 Purchased Microsoft bonds for $160,800. June 21 Sold all of the Sony notes for $57,600. June 30 Purchased Black & Decker bonds for $50,400. August 3 Sold all of the Sara…arrow_forwardWhat is the ending inventory?arrow_forwardMaple industries uses the straight line method solution general accounting questionarrow_forward
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