1. At the beginning of the period, the Fabricating Department budgeted direct labor of $53,200 and equipment depreciation of $33,000 for 3,800 hours of production. The department actually completed 5,100 hours of production.

Determine the budget for the department, assuming that it uses flexible budgeting. __________

2.

Pasadena Candle Inc. projected sales of 67,000 candles for January. The estimated January 1 inventory is 4,700 units, and the desired January 31 inventory is 7,000 units.

Prepare a production budget report in units for Pasadena Candle Inc. For those boxes in which you must enter subtracted or negative numbers use a minus sign.

Pasadena Candle Inc.
Production Budget
For the Month Ending January 31
Expected units to be sold
Desired ending inventory, January 31
Total units available
Estimated beginning inventory, January 1
Total units to be produced in January