1. Snickerdoodle Co uses budgeted direct labor-hours for its manufacturing overhead budget. Based on the estimated snickerdoodle needs of its customers for July, Snickerdoodle Co is budgeting 3,400 direct labor-hours will be required to fulfil the orders. The company budgets $43,180 fixed manufacturing overhead, which includes $3,580 of depreciation expenses. The remainder represents current cash flows. The variable overhead rate is $9 per direct labor hour. On the manufacturing overhead budget, what is the July cash disbursements for manufacturing overhead?

A. $73,780

B. $30,600

C. $70,200

D. $39,600

2. Wazoo Kazoo, a company specializing in manufacturing and selling personalized kazoos, estimates its selling and admin expense budget based on the estimated amount of unit sales. June is the most popular month for Kazoo purchases, and they are planning on selling 3,100 kazoos. Wazoos fixed selling and administrative expense is $35,810 per month, which includes depreciation of $4,600 per month, and the remainder is current cash flows. The variable selling and amin expenses to reach its target audience is $3.60 per kazoo. What should Wazoo Kazoos budgeted cash disbursement for selling and admin expenses for June be?

A. $46,970

B. $42,370

C. $31,210

D. $11,160

3. Parks Corporation began the month with a cash balance of $12,300. Over the course of the month, the company expects to receive $56,000 in cash from its customers and pay $64,000 to its employees and suppliers. The company must keep at least $10,000 of cash on hand. Ignoring interest payments, how much money will Parks have to borrow during the month?

A. $5,700

B. $4,300

C. $10,000

D. $8,000

4. Globes Inc has budgeted for the following sales of snow globes:

January	$	446,000
February	$	581,000
March	$	615,500
April	$	890,500
May	$	735,000
June	$	695,000

Globes sells its snow globes primarily to distributors and has worked out the following terms of payments: 15% collected in the month of sale; 65% in the month following the sale; and the remaining 20% in the second month following the sale. In Globes budgeted balance sheet at June 30, at what amount will accounts receivable be shown?

A. $695,000

B. $147,000

C. $590,750

D. $737,750

7. Love All, a tennis training center uses training sessions as its measure of activity. During June, the center budgeted for 4,150 training sessions but its actual level of activity was 4,140 training sessions. The training center provided the following formulas it used for Junes budget and its actual results in June:

Data used in budgeting:

	Fixed element per month			Variable element per training session
Revenue		-		$	37.10
Personnel expenses	$	31,200		$	12.10
Training supplies		2,050			7.50
Occupancy expenses		9,300			3.60
Administrative expenses		7,600			0.50
Total expenses	$	50,150		$	23.70

Actual results for June:

Revenue	$	153,801
Personnel expenses	$	81,253
Training supplies	$	33,941
Occupancy expenses	$	23,707
Administrative expenses	$	9,428

The activity variance for personnel expenses in June would be closest to:

A. $121 F

B. $121 U

C. $162 F

D. $162 U