The Enterprise Company manufactures two products, known as alpha and sigma. Alpha is produced in department 1 and sigma in department 2. The following information is available for 19X1.

Standard material and labour costs :

Overhead is recovered on a direct labour hour basis.
The standard material and labour usage for each product is as follows :

The balance sheet for the previous year ending 19XO was as follows :

Other relevant data is as follows for the year 19X1 :

Budgeted cash flows are as follows :

You are required to prepare a master budget for the year 19X1 and the following budgets :
1. Sales budget 2. Production budget 3. Direct materials usage budget 4. Direct materials purchase budget 5. Direct labour budget 6. Factory overhead budget 7. Selling and administration budget 8. Cash budget

Transcribed Image Text:

() Material X Material Y Direct labour 1.80 per unit 4.00 per unit 3.00 per hour