Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

As a preliminary to requesting budget estimates of sales, costs, and expenses for the fiscal year beginning January 1, 2014, the following tentative trial balance

image text in transcribed
image text in transcribed
image text in transcribed
As a preliminary to requesting budget estimates of sales, costs, and expenses for the fiscal year beginning January 1, 2014, the following tentative trial balance as of December 31, 2013, is prepared by the Accounting Department of Regina Soap Co. Cash $100,300 Accounts Receivable 180,500 Finished Goods 37.900 Work in Process 25,300 Materials 41.500 Prepaid Expenses 3,100 Plant and Equipment 469,400 Accumulated Depreciation ---Plant and Equipment $201.800 Accounts Payable 119.100 Common Stock, 510 par 350,000 Retained Eaminos 186,800 5858,000 $558,000 Factory output and sales for 2014 are expected to total 23,000 units of product, which are to be sold at 390 per unit. The quantities and costs of the inventories at December 31, 2014, are expected to remain unchanged from the balances at the beginning of the years 7 Cost of goods manufactured and sold: Direct materials $23 Direct labor Factory overhead Depreciation of plant and equipment $23,000 Other factory overhead 7,100 Selling expenses: Sales salaries and commissions B2,600 11.5 Advertising 69,000 Miscellaneous selling expense 6,000 Administrative expensest Office and officers salories 54,300 5.5 Supplies 2,800 Miscellaneous administrative expense 1,400 1.5 Batances of accounts receivable, prepaid expenses, and accounts payable at the end of the year are not expected to differ significantly from the beginning balances Federal income tax of $164,200 on 2014 taxable income will be paid during 2014. Regular quarterly cash dividends of $1 per share are expected to be declared and paid in March, Jung, September, and December on 35,000 shares of common stock outstanding. It is anticipated that fixed assets will be purchased for $127.000 cash in May. 1 Prepare a budgeted balance sheet as of December 31, 2014. Regina Soap Co. Budgeted Balance Sheet December 31, 2014 Assets Current assets: Cash Accounts receivable Inventories: Finished goods Work in process Materials Prepaid expenses F Total current assets Property, plant, and equipment: DO Total assets

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Planning And Budgeting For The Agile Enterprise A Driver-based Budgeting Toolkit

Authors: Barrett, Richard

1st Edition

0750683279, 9780750683272

More Books

Students also viewed these Accounting questions

Question

2.1 Explain how employment-related issues are governed in Canada.

Answered: 1 week ago

Question

2.3 Describe the requirements for reasonable accommodation.

Answered: 1 week ago