4. Direct labor budget, Round your answers to two decimal places, if required. C. The dirnct labor used per unit of output is one and one hall hours. The average direct tabor cost per hour is $20. d. Overhead each month is estimated using a flexuble budget formula. (Activity is measured in direct labor hours.) c. Monthly seling and adminiturative expenses are also estimated using a flecoble budgetong formuls. (Mctwity is measured in units seld.) E. The unit seling price of the ming harness assembly is $110. 9. In February, the company plans to purchase land for futiare expansion. The land costs $68,000. develops, sufficient cash is borrowed to cover thr shortage and provide the desired ending balance. Arv cash barrowed must be borrowed in $1,000 increments and is repaid the following month, as is the interest due. The interest rate is 12 percent per annum. 6. Selling and administrative expense budget. Round your answers to the nearest cent, if required. 7. Ending tinushed goods invencory budget. Round intermediate calculations to the noarest cent. Roumd your answers to the nearest cent, if required. h. All sales and purchases are for cash. The cash balance on danuary 1 equals $62,900. The firm wants to have an ending cash balance of at least $25,000. If a cash shortage develops, sufficent cash is borrowed to cover the shortage ond provide the desired ending balance. Any cash borrowed must be berrowed in $1,000 increments and is repaid the following month, as is the interest due. The interest rate is 12 percent per annum. Required: Prepare a monthly operating budget for the first quarter with the following schedules: 1. Sales budget 2. Production budget 8. Cost of goeds sold budget 8. Cost of goods sold budget 9. Budgeted income statement (ignore income taxes) 9. Budpeted income statement (ignore income taxes) 10. Cash budget Enter a negative balance as a negative amount, and if an amount is rero enter " 0 ". Fiction Forum Usin. Chapter 21 Exercises Enter a negative balance as a negative amount, and if an amount is zero enter " 0 ". All work saved. Ponderosa, Inc, produces wirng harness assemblies used in the production of somi-traler trucks. The witing hamess assembles are sold to various truck manufacturers around the world. Projected sales in units for the consing five months are given below The following data pertain to production policies and manufacturing specifications followed by Ponderosa: a. Finished goods inventory on January 1 is 900 units. The desured ending invertery for each month is 20 percent of the next month's sales. b. The data on materials uscd are as follows: Inventory policy dictates that sufficient materials be on hand at the beginning of the month to satisfy so percent of the next monthis preduction needs. This is exactiy the amount of materal oo hand on January 1 . C. The diree labor used per unit of output is one and one-half hours, The overege direct labor cost per hour is $20. d. Overhead each month is estimated using a flexible budpet formula. (Activity is measured in direct labor hours.) 5. Overhead budget. Round your answers to two decimal places, if required. 6. Selling and administrative expense bubget. Round your answers to the nearest cent, if required
