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Cahuilla Corporation predicts the following sales in units for the coming four months April May June July 240 280 300 240 Sales in Units Each

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Cahuilla Corporation predicts the following sales in units for the coming four months April May June July 240 280 300 240 Sales in Units Each month's ending Finished Goods Inventory should be 40% of the next month's sales inventory is 96 units. A finished unit Raw Materials Inventory has 200 pounds of B. E following month's production needs. The budgeted cost of direct material B during May should be: March 31 Finished Goods requires five pounds of direct material B at a cost of $2.00 per pound. The March 31 month's ending Raw Materials Inventory should be ach 30% of the O $576 O $3,708. O $552. O $2.016. O $2.844. Multple Cholce Dificuly 3 Hard Learning Objective: 20-PI Prepare each component of a master budget for a manufacturing company 15. Award: 10.00 points manufactures a single product and has a JIT policy that ending inventory must equal 5% of the next Trago Company month's sales. It estimates that May's ending inventory will consist of 14,000 units. June and July sales are estimated to be 280,000 and 290,000 units, respectively. Trago assigns variable overhead at a rate of $1.80 per unit of production. Fixed overhead equals total budgeted $400,000 per month. Compute the number of units to be produced and use this amount to compute the overhead that would appear on the factory overhead budget for the month of June. O $920.200 O $904,900 $930.100. O $922.000 $878,800. References Learning Objective: 20-PI Prepare each component of a master budget-for a manufacturing company Multiple Choice Dificulty: 3 Hard 16. Award: 10.00 points

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