Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

CALCULATOR FULL SCREEN PRINTER VERSION CRACK Problem 9-1A (Video) Cook Farm Supply Company manufactures and sells a pesticide called Share. The following data are available

image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
CALCULATOR FULL SCREEN PRINTER VERSION CRACK Problem 9-1A (Video) Cook Farm Supply Company manufactures and sells a pesticide called Share. The following data are available for preparing budgets for Share for the first 2 quarters of 2020. 1. Sales: quarter 1, 28,200 bags; quarter 2, 43,600 bags. Selling price is $63 per bag. 2. Direct materials: each bag of Snare requires 5 pounds of Gumm at a cost of $3.80 per pound and 6 pounds of Tarr at $1.75 per pound. 3. Desired inventory levels: January 1 April 1 Type of Inventory Snare (bags) Gumm (pounds) Tarr (pounds) 8,100 9,100 14,100 12,100 10,500 20,100 July 1 18,100 13,500 25,500 4. Direct labor: direct labor time is 15 minutes per bag at an hourly rate of $16 per hour. 5. Selling and administrative expenses are expected to be 15% of sales plus $177,000 per quarter. 6. Interest expense is $100,000. 7. Income taxes are expected to be 30% of income before income taxes. Your assistant has prepared two budgets: (1) the manufacturing overhead budget shows expected costs to be 125% of direct labor cost, and (2) the direct materials budget for Tarr shows the cost of Tarr purchases to be $303,000 in quarter 1 and $426,500 in quarter 2. (Note: Do not prepare the manufacturing overhead budget or the direct materials budget for Tarr.) Prepare the sales budget. COOK FARM SUPPLY COMPANY Sales Budget Prepare the sales budget. COOK FARM SUPPLY COMPANY Sales Budget Quarter Six Months Prepare the production budget. COOK FARM SUPPLY COMPANY Production Budget Months Prepare the production budget. COOK FARM SUPPLY COMPANY Production Budget Quarter Six Months LINK TO TEXT LINK TO TEXT LINK TG Prepare the direct materials budget. (Round Cost per pound answers to 2 decimal places, e.g. 52.70.) COOK FARM SUPPLY COMPANY Direct Materials Budget-Gumm Quarter Six Months Prepare the direct labor budget. (Enter Direct labor time per unit in proportion to hours, e.g. for 45 minutes the Prepare the direct labor budget. (Enter Direct labor time per unit in proportion to hours, e.g. for 45 minutes t COOK FARM SUPPLY COMPANY Direct Labor Budget 5) Quarter Six Months Prepare the selling and administrative expense budget. COOK FARM SUPPLY COMPANY Selling and Administrative Expense Budget Quarter Prepare the selling and administrative expense budget. COOK FARM SUPPLY COMPANY Selling and Administrative Expense Budget Quarter Six Months LINK TO TEXT LINK TO TEXT LINK TO VIDEO ha h ata minina.stan income statement for the first 6 months. Round Intermediate Prepare the budgeted multiple-step income statement for the first 6 months. (Round intermediate ca decimal places, e.g. 1,255.) COOK FARM SUPPLY COMPANY Budgeted Income Statement 20) 20) 20) Click if you would like to Show Work for this question: Open Show Work

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

Students also viewed these Accounting questions

Question

Explain what a patent is and describe different types of patents.

Answered: 1 week ago

Question

Compare a delusion with a hallucination.

Answered: 1 week ago

Question

How did you feel about taking piano lessons as a child? (general)

Answered: 1 week ago