🏷️ LIMITED TIME OFFER: GET 20% OFF GRADE+ YEARLY SUBSCRIPTION →
Log in
Accounting
1
answer
0
watching
767
views

PLEASE SHOW WORK

On January 1, 2014, the Hardin Company budget committee hasreached agreement on the following data for the 6 months endingJune 30, 2014.

Sales units: First quarter 5,000; second quarter 6,000; third quarter7,000
Ending raw materials inventory: 40% of the next quarter’s production requirements
Ending finished goods inventory: 25% of the next quarter’s expected sales units
Third-quarter production: 7,200 units


The ending raw materials and finished goods inventories at December31, 2013, follow the same percentage relationships to productionand sales that occur in 2014. 3 pounds of raw materials arerequired to make each unit of finished goods. Raw materialspurchased are expected to cost $4 per pound.

1quarter 2quarter

Expected Unit Sales: ___________________________________________

Add Desired Ending Finished GoodsUnit:____________________ _______________________

Total Required Units: ___________________________________________

Less Begining Finished Goods Unit: ___________________________________________

Required Production Units: ___________________________________________

Prepare a direct materials budget by quarters for the 6-monthperiod ended June 30, 2014.

Units to be Produced: ___________________________________________

Direct Materials per unit: ___________________________________________

Total Pounds Needed for Production: ___________________________________________

Add: Desired Ending Direct Materials____________________ _______________________

Total Materials Required: ___________________________________________

Less Beginning Direct Materials: ___________________________________________

Direct Materials Purchases: ___________________________________________

Cost Per Pound: ___________________________________________

Total Cost of Direct Materials Purchases:____________________ _______________________

Watch
1
answer
0
watching
767
views

For unlimited access to Homework Help, a Homework+ subscription is required.

Nestor Rutherford
Nestor RutherfordLv2
28 Sep 2019

Unlock all answers

Get 1 free homework help answer.
Already have an account? Log in
Share

Related questions

Pargo Company is preparing its master budget for 2017. Relevant data pertaining to its sales, production, and direct materials budgets are as follows. Sales. Sales for the year are expected to total 1,000,000 units. Quarterly sales are 21%, 25%, 27%, and 27%, respectively. The sales price is expected to be $38 per unit for the first three quarters and $45 per unit beginning in the fourth quarter. Sales in the first quarter of 2018 are expected to be 10% higher than the budgeted sales for the first quarter of 2017. Production. Management desires to maintain the ending finished goods inventories at 20% of the next quarter’s budgeted sales volume. Direct materials. Each unit requires 2 pounds of raw materials at a cost of $11 per pound. Management desires to maintain raw materials inventories at 10% of the next quarter’s production requirements. Assume the production requirements for first quarter of 2018 are 499,000 pounds. Prepare the sales, production, and direct materials budgets by quarters for 2017.

XYZ Corporation is preparing a master budget for 2016. Sales for the year are expected to total 1,200,000 units. Quarterly sales in units are 20%,25%,30%, and 25% respectively. The sales price is expected to be $50 per unit for the first 3 quarters and $55 per unit beginning in the fourth quarter. Sales in the first quarter of 2017 are expected to be 10% higher than the budgeted sales volume for the first quarter of 2016.

Cash collections from sales are 60% in the quarter of sale, 30% in the following quarter and 8% in the second quarter after sale.

For production purposes management desires to maintain ending finished goods inventories at 25% of the next quarters budgeted sales volume. Beginning finished goods on Jan 1 2016 are 60,000 units.

For production purposes two pounds of raw material are required for each finished product.

Management targets ending inventory of materials equal to 20% of next period’s production needs of finished goods

Beginning materials inventory on January 1, 2016 was 10,000 pounds.

Prepare

A)cash inflows schedule for the third quarter 2016

B)materials purchase budget in pounds for the first quarter 2016

cahuilla corporation predicts the following sales in units for thecoming four months.

Sales in units: April: 300, May: 340, June: 360, July:300

Each month’s ending finished goods inventory should be 40% ofthe next months sales. March 31 finished goods inventory is 120units. A finished unit requires 5 pounds of direct material B at scost of $2.00 per pound. the March 31 raw materials inventory has260 pounds of B. Each month’s ending raw materials inventory shouldbe 30% of the following month’s production needs. the budgetedproduction for may is:

Weekly leaderboard

Home
Homework Help 3,900,000
Accounting 580,000
Start filling in the gaps now
Log in