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Budgeted Income Statement and Supporting Budgets The budget director of Birding Homes & Feeders Inc., with the assistance of the controller, treasurer, production manager, and

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Budgeted Income Statement and Supporting Budgets The budget director of Birding Homes & Feeders Inc., with the assistance of the controller, treasurer, production manager, and sales manager, has gathered the following data for use in developing the budgeted Income statement for January a. Estimated sales for January 15,000 units at Bird house $25 per unit 40,000 units at Bird feeder $15 per unit b. Estimated Inventories at January 11 Direct materials: Wood 500 Plastic 1,000 lbs Finished products 1,000 units at Bird house $15 per unit 2.500 units at sa Bird feeder per unit c. Desired inventaries at January 31: Direct materials: Wood 500 1,250 lbs Plastic Finished products Bird house 1,500 units at $15 per unit 3,000 units at 58 per unit Bird feeder d. Direct materials used in production: In manufacture of Bird House: 0.80 ft. per unit Wood of product 0.10 lb. per unit Plastic of product In manufacture of Bird Feeder: 0.20 ft. per unit Wood of product 1.00 ib. per unit Plastic of product e. Anticipated cost of purchases and beginning and ending inventory of direct materials: Wood $2.50 per ft Plastic $0.80 per Ib. f. Direct labor requirements: Bird House: 0.40 hr, at $18 Fabrication Department per hr. Assembly Department 0.20 hr. at $12 per hr Bird Feeder Fabrication Department 0.25 hr. at $18 per hr Assembly Department 0.10 h at $12 per hr g. Estimated factory overhead costs for January Indirect factory wages $40,000 $40,000 20,000 10,000 5,000 g. Estimated factory overhead costs for January: Indirect factory wages Depreciation of plant and equipment Power and light Insurance and property tax h. Estimated operating expenses for January: Sales salaries expense Advertising expense Office salaries expense Depreciation expense-office equipment Travel expense-selling office supplies expense Miscellaneous administrative expense 1. Estimated other revenue and expense for January: Interest revenue Interest expense J. Estimated tax rate: 25% $125,000 80,000 40,000 4,000 25,000 2,500 3,500 $4,540 3,000 Requiredt 1. Prepare a sales budget for January Birding Homes & Feeders Inc. Sales Budget For the Month Ending January 31 Unit Sales Unit Selling Total Sales Required: 1. Prepare a sales budget for January Birding Homes & Feeders Inc. Sales Budget For the Month Ending January 31 Unit Sales Unit Selling Volume Price Total Sales Bird house $$ Bird feeder Total revenue from sales $$ 2. Prepare a production budget for January. For those boxes in which you must enter subtracted or negative numbers use a minus sign. Birding Homes & Feeders Inc, Production Budget For the Month Ending January 31 Units Bird House Bird Feeder 2. Prepare a production budget for January. For those boxes in which you must enter subtracted or negative numbers use a minus sign. Birding Homes & Feeders Inc. Production Budget For the Month Ending January 31 Units Bird House Bird Feeder 3. Prepare a direct materials purchases budget for January. For those boxes in which you must enter subtracted or negative numbers use as sin Birding Homes Feedurs Inc Direct Materials Purchases Budget For the Month Ending January 31 Wood Plastie Total Required units for production Bird house Bird Feeder Desired units of inventory, January 31 Previous Click My Work mane Check My Worreaning Submit Assignment for a All worked 3. Prepare a direct materials purchases budget for January. For those boxes in which you must enter subtracted or negative numbers use a minus sign Birding Homes i Fenders Inc. Direct Materials Purchases Budget For the Month Ending January 31 Wood Plastic Total Required units for production: Bird house Bird feeder Desired units of inventory, January 31 Total units available Estimated units of inventory, January 1 Total units to be purchased Unit price 5 XS Total direct materials to be purchased 4. Prepare a direct labor cost budget for January Birding Homes & Feeders Inc. Direct Labor Cost Budget For the Month Ending January 31 Fabrication Department Assembly Department Total Hours required for production 4. Prepare a direct labor cost budget for January Birding Homes & Feeders Inc. Direct Labor Cost Budget For the Month Ending January 31 Fabrication Department Assembly Department Total Hours required for production: Bird house Bird feeder Total Hourly rate 5 XS $ Total direct labor cost $ $ $ $$ 5. Prepare a factory overhead cost budget for January Birding Homes & Feeders Inc. Factory Overhead Cost Budget For the Month Ending January 31 Total factory overhead cost S. Prepare a factory overhead cost budget for January Birding Homes & Feeders Inc. Factory Overhead Cost Budget For the Month Ending January 31 Total factory overhead cost 6. Prepare a cost of yoods sold budget for January, Work in process at the beglening of January is estimated to be $9.000 and work in process at the end of January is estimated to be $10,500. For those boxes in which you must enter subtracted or negative numbers use a minusson Birding Homes & Feeders Inc. Cost of Goods Sold Budget For the Month Ending January 31 Direct materials 35 Cost of direct materials available for use 6. Prepare a cost of goods sold budget for January, Work in process at the beginning of January is estimated to be $9,000, and work in process at the end of January is estimated to be $10,500. For those boxes in which you must enter subtracted or negative numbers use a minus sign Birding Homes Feeders Inc. Cost of Goods Sold Budget For the Month Ending January 31 Direct materials: SS Cost of direct materials available for me 35 Cost of direct materials placed in productions Tot manufacturing costs Total work in process during period Cost of good manufactured Cost of finished goods available for sale 15 Cost of goods sold Cost of Goods Sold Budget For the Month Ending January 31 5$ Direct materials: SS Cost of direct materials available for use SS Cost of direct materials placed in productions Total manufacturing costs Total work in process during period SS Cost of goods manufactured Cost of finished goods available for sale Cost of goods sold Prepare a selling and administrative expenses budget for January Birding Homes & Feaders Inc. Selling and Administrative Expenses Budget For the Month Ending January 31 Selling expenses: $$ Total selling expenses Administrative expenses $$ Total administrative expenses Total operating expenses 8. Prepare a budgeted income statement for January. In the other revenue and expense section, indicate expenses as negative amounts Birding Homes Feeders Inc. Hudgeted Income Statement For the Month Ending January 31 Total administrative expenses Total operating expenses 8. Prepare a budgeted income statement for January. In the other revenue and expense section, indicate expenses as negative amounts. Birding Homes & Feeders Inc. Budgeted Income Statement For the Month Ending January 31 Operating expenses $$ Total operating expenses Operating income $$ Other revenue and expense: SS Income before income tax 5$ Net Income 55

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