Answered step by step
Verified Expert Solution
Question
1 Approved Answer
1. WFU Corporation expects the unit sales of Product MSA to increase by 10%, while Product MA will increase by 5% of last year's sales.
1. WFU Corporation expects the unit sales of Product MSA to increase by 10%, while Product MA will increase by 5% of last year's sales. The company will increase the price of Product MSA by $10, while Product MA will remain the same. Prepare the budgeted revenue for the upcoming year, 20Y6 with the information below for 20Y5. 2. WFU Corporation has a desired ending inventory of 5% of the upcoming year's sales for each year. In 20Y7, the company expects to sell 20,000 of Product MSA and 12,000 of Product MA. Prepare the company's production budget for 20Y6. 3. Each finished good of Product MSA and Product MA requires two materials, Product M and Product A, which are measured in pounds. Product M costs $7.50 per pound, and Product A costs $5.00 per pound. The required pounds of material per finished good and beginning and ending inventories are shown. Prepare the 20Y6 direct materials purchases budget. 4. Each finished good of WFU Corporation must go through two departments, Production and Finishing. The employees in the Production Department are paid an hourly wage of $10, while the Finishing Department employees are paid an hourly wage of $9. The time spent in each department for the products are shown below. Prepare a direct labor cost budget for 20Y6, rounding hours to the nearest whole hour. 5. WFU Corporation expects to incur the following costs: indirect factory labor, $8,700; indirect materials, $750; depreciation on factory equipment, $2,100; and utilities, $6,500. Prepare the factory overhead cost budget for the company. 6. Use the information above to prepare WFU Corporation's cost of goods sold budget for 20Y6. Assume the beginning and ending inventories shown
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started