25.00 EM5-25 (similar to) Question Help Carlton, Inc. manufactures model aleplane kits. Direct materials are three ounces of plastic per kit and the plastic costs $5 per ounce. Indirect materials are considered insignificant and are not included in the budgeting process. Each kit requires 0.50 hours of direct labor at an average cost of $50 per hour Manufacturing overhead is allocated using direct labor hours as the allocation base. The company has prepared the following budgets: (Click the icon to view the budgets.) Carlton projects sales of 200, 100, 400, and 100 kits for the next four quarters, Carlton has no kits in beginning inventory. Determine the cost per kit to manufacture the model airplane kits. Prepare a cost of goods sold budget for the year. Round amounts to two decimal places Direct labor cost per kit Manufacturing overhead cost per kit 1.47 41.47 Total projected manufacturing cost per kit he Prepare a cost of goods sold budget for the year (Complete all input fields. Enter "o" for zero balances) Carlton, Inc. Cost of Goods Sold Budget For the Year Ended December 31 First Second Fourth Quarter Quarter al Third Quarter Quarter Total Kits produced and sold Total budgeted cost of goods sold Choose from any list or enter any number in the input fields and then click Check Answer. av chawin Clear All Check Answer Fourth Quarter Total 300 1,120 3 3 3 Carlton, Inc. Direct Materials Budget For the Year Ended December 31 First Second Third Quarter Quarter Quarter Budgeted kits to be produced 350 220 250 3 Direct materials (ounces) per kit 3 Direct materials needed for production 1,050 660 750 66 75 90 Plus: Desired direct materials in ending inventory Total direct materials needed 1,116 735 840 860 66 75 Less: Direct materials in beginning inventory Budgeted purchases of direct materials 256 669 765 5$ 5$ 5$ Direct materials cost per ounce 1,280 $ 3,345 $ 3,825$ Budgeted cost of direct materials purchases Carlton, Inc 900 210 3,360 210 | 1,110 90 3,570 860 1,020 5$ 2,710 5 $ 5,100 $ 13,550 Carlton, Inc. Direct Labor Budget For the Year Ended December 31 First Second Third Fourth Quarter Quarter Quarter Quarter Total 350 220 250 300 0.50 1,120 0.50 0.50 0.50 0.50 Budgeted kits to be produced Direct labor hours per unit Direct labor hours needed for production Direct labor cost per hour 110.00 175.00 50 $ 125.00 50 $ 150.00 50 $ 560.00 50 $ 50 $ 8,750 $ 5,500 $ 6,250 $ 7,500 $ 28,000 Budgeted direct labor cost Carlton, Inc. Manufacturing Overhead Budget For the Year Ended December 31 First Second Third Fourth Quarter Quarter Quarter Quarter Total 350 220 250 300 1.120 Budanted kits to be produced Print Done UN MISWU 8,750 $ Budgeted direct labor cost 5,500 $ 6,250 $ 7,500 $ 28,000 Fourth Quarter Total Carlton, Inc. Manufacturing Overhead Budget For the Year Ended December 31 First Second Third Quarter Quarter Quarter Budgeted kits to be produced 350 220 250 $ 0.90 $ VOH cost per kit 0.90 $ 0.90 $ Budgeted VOH 315.00$ 198.00 $ 225.00 $ 160.00 160.00 160.00 Budgeted FOH 475.00 $ 358.00 $ 385.00$ Budgeted manufacturing overhead costs 300 0.90 $ 1,120 0.90 270.00 $ 160.00 1,000.00 640.00 $ 430.00 $ 1,648.00 175.00 110.00 125.00 150.00 560.00 Direct labor hours Budgeted manufacturing overhead costs S 1,648.00 $ 2.94 Predetermined overhead allocation rate
