ACCT 1300 P4.8 Wilson Inc. has determined that the variable Overhead Rate per Direct labour hour is $1.75 and the feed manufacturing overhead is $6,200 per quarter and depreciation is $1,500 Please prepare the Manufacturing Overhead Budget Manufacturing Overhead Budget 01 02 Q3 04 Budgeted direct labour hours Variable overhead rate $1.75 $1.75 $1.75 $1.75 Variable manufacturing overhead Fixed manufacturing overhead Total manufacturing overhead Less. Depreciation Cash disburement for manufacturing overhead Wilson Inc. budgeted for fixed selling and administrative expenses below. The variable selling and administrative rate based on budgeted units is $11/hour. Please prepare the selling and Administrative Expense Budget. Advertising Executive Salaries Q2 Insurance 3 Insurance Q4 Property taxes Depreciation $3,000 850 100 2.000 4,300 10,000 Selling and Administrative Expense Budget 01 02 03 Budgeted Sales 04 Variable selling & admins expense Total budgeted variable selling & administrative expense $11 $11 $11 $11 Budgeted fored selling & admin, expenses: Advertising Executive Salaries Insurance Property taxes Depreciation Total budgeted fixed selling & admin. expense Total budgeted selling & admin. expenses Less: Depreciation Cash disbursements for selling & administrative expenses Engih unted States The beginning cash balance has been provided and equipment purchases and dividends has been provided. Please prepare the cash budget. Cash Budget For the Year Ended December 31, 2019 02 Q3 Q4 Q1 $47.500 Cash balance, beginning Add Receipts Collection from customers Total Cash available before current financing Deduct disbursements Direct materials Direct labour Manufacturing overhead Selling and administrative Equipment purchases Dividends Total Disbursements Excess (deficiency of cash available over disbursements 60.000 500 50,000 500 10.000 500 20,000 500 you herences Maung Review View Help Wilson Inc. manufactures basketballs for $20/unit. Wilson Inc. budgets on a quarterly basis and the sales department has budgeted for the following sales: 01 02 Q3 Q4 10,000 11,000 12,000 14,000 The Basketball's selling price is $35 each. Please prepare the Sales Budget. Sales Budget For the year ended December 31, 2020 Quarter 1 Quarter 2 Quarter 3 Quarter 4 Expected Sales (units) Selling Price (/unit) Total Budgeted Sales Wilson Inc does not collect all of the sales revenue in the period of sale. The accounts receivable department has budgeted for 85% of sales revenue to be collected in the period of sale and 15% to be collected in the next period. The accounts receivable beginning balance is $80,000. Please prepare the Schedule of Expected Cash Collections Schedule of Expected Cash Collections Quarter 2 Cuarter 3 Quarter 1 Quarter 4 Accounts Receivable, beginning balance 80,000 First quarter sales Second quarter sales Third quarter sales Fourth quarter sales Total cash collections Wilson Inc. has spoken with the Production Department and determined that it would like to have a desired ending finished goods inventory of 20% of next periods sales. The assumed beginning inventory of finished goods for 01 and the desired ending inventory of 4 is provided. Please prepare the production Budget. Production Budget For the Year Ended December 31, 2019 Quarter 2 Quarter 3 Quarter 1 Quarter 4 Budgeted Sales Add: Desired ending inventory of finished goods 3,000 Total needs Deduct: Beginning inventory of finished goods 2.000 Required Production w Review View Help The Production Department is ready to budget for Direct Material Purchases. The Direct Materials needed are 15kg/unit and the cost of the raw materials is $1.50/kg Production would like to have 10% of next quarters production needs as the desired ending inventory of raw materials. The assumed 01 beginning inventory of raw materials and the ending inventory for Qe is provided. Please prepare the Direct Materials Budget Direct Materials Budget For the Year Ended December 31, 2019 Quarter 1 Quarter 2 Quarter 1 Quarter 4 Required Production in Cases Production needs Add: Deskred ending inventory of raw materials 22,500 Total needs Deduct: Beginning inventory of raw materials 21.000 Raw materials to be purchased Cost of raw materials to be purchased The Accounts Payable Department has advised Wilson Inc. that they expect to pay for Direct Materials 50% in the period of purchase and 50% in the next period. Accounts Payable beginning balance is provided. Please prepare the Schedule of Expected Cash Disbursements for Materials. Schedule of Expected Cash Disbursements for Materials Quarter 1 Quarter 2 Quarter 3 Quarter 4 Accounts Payable, beginning balance $25,800 First quarter purchases Second quarter purchases Third quarter purchases Fourth quarter purchases Total cash disbursements The Human Resources Department has indicated that the Direct Labour Cost per hout is $7.50 and the Production Department has indicated that the # of Direct Labour Hours per unit is 0.90. Please prepare the Direct Labour Budget Direct tabour Budget For the Year Ended December 31, 2019 Q2 03 Q1 04 Required Production in cases Total direct labour hours needed Total direct labour cost Wilson Inc. has determined that the Variable Overhead Rate per Direct labour hour is $1.75 and the fored manufacturing overhead is $5,200 per quarter and depreciation is $1,500 > Please prepare the Manufacturing Overhead Budget Manufacturing Overhead Budget Q1 02 Q3 24 Budgeted direct labour hours $1.75 $1.75 $1.75 $1.75 Variable overhead rate Variable manufacturing overhead Pixed manufacturing overhead Total manufacturing overhead Lets Depreciation Cash disbursement for manutacturing overhead Wilson Inc. budgeted for fixed selling and administrative expenses below. The variable selling and administrative rate based on budgeted units is $11/hour. > Please prepare the Selling and Administrative Expense Budget. Advertising Executive Salaries Q2 Insurance 3 Insurance 04 Property taxes Depreciation $3,000 asa 100 2,000 4,300 10,000 Selling and Administrative Expense Budget Q1 02 Q3 Budgeted Sales 04 Variable selling & admins expense Total budgeted variable selling & administrative expense $11 $11 $11 $11 Budgeted foed selling & admin, expenses: Advertising Executive Salaries Insurance Property taxes Depreciation Total budgeted fixed selling & admin, espente Total budgeted selling & admin expenses Les Depreciation Cash disbursements for selling & administrative expenses The beginning cash balance has been provided and equipment purchases and dividends has been provided. Please prepare the cash budget. Cash Budget For the Year Ended December 31, 2019 02 Q3 1 $42.500 04 Cash balance, beginning Add Receipts: Collection from customers Total Cash available before current financing Deduct disbursements Direct materials Direct labour Manufacturing overhead Selling and administrative Equipment purchases Dividends Total Disbursements Excess deficiency of cash available over disbursements 60,000 500 50.000 500 10.000 500 20,000 500