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1.Croy Inc. has the following projected sales for the next five months: Month April May June July August Sales in Units 3,550 3,815 4,640 4,105
1.Croy Inc. has the following projected sales for the next five months: Month April May June July August Sales in Units 3,550 3,815 4,640 4,105 3,900 Croy's finished goods inventory policy is to have 50 percent of the next month's sales on hand at the end of each month. Direct materials costs $3.00 per pound, and each unit requires 2 pounds. Direct materials inventory policy is to have 50 percent of the next month's production needs on hand at the end of each month. Direct materials on hand at March 31 totaled 3,683 pounds. Required: 1. Determine budgeted production for April, May, and June. 2. Determine budgeted cost of materials purchased for April and May. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Determine budgeted production for April, May, and June. (Do not round your intermediate calculations and round your final answers to the nearest whole number.) April May June Budgeted Production (Units) Required 1 Required 2 Determine budgeted cost of materials purchased for April and May. (Use rounded Budgeted Production units in intermediate calculations. Round your answers to 2 decimal places.) April May Budgeted Cost of Material Purchased 2.Alleyway Corp. manufactures two styles of leather bowling bag, the Strike and Turkey. Budgeted production levels for October follow: Production Strike 2,400 bags Turkey 3,250 bags Two departments, Cutting and Sewing, produce the bowling bags. Direct labor hours needed for each style are as follows: Strike Turkey Cutting 0.100 hour per bag 0.150 hour per bag Sewing 0.400 hour per bag 0.500 hour per bag Hourly direct labor rates are $14 for the Cutting Department and $14 for Sewing. Required: Determine Alleyway's budgeted direct labor cost for October. (Round your final answers to nearest whole dollar. Do not round your intermediate calculations.) Cutting Sewing Budgeted Direct Labor Cost 3. The following information is available for Pioneer Company: Sales price per unit is $80. November and December, sales were budgeted at 2,960 and 3,490 units, respectively. Variable costs are 10 percent of sales (4 percent commission, 3 percent advertising, 3 percent shipping). Fixed costs per month are sales salaries, $5,200; office salaries, $2,600; depreciation, $2,000; building rent, $3,400; insurance, $1,400; and utilities, $700. Required: Determine Pioneer's budgeted selling and administrative expenses for November and December. November December Total Budgeted Selling and Administrative Expenses
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