can someone help me with number 3.
Y U dee P H J oples of Managerial Accourntino a Credit Project Chapter 2 Page 1 Worth 50 Points CxtR0 5pr& 14 cone It was while watching college football games on January 1st that Elmer Fudd and on exce Mickey Mouse were discussing Elmer's current situation In December, the previous month, Apme Brick had closed their Conroe brick making facility. As Plant Manager, Elmer Fudd, had been responsible for seeing the equipment dismantied, and shipped to a ste in Mississippl. Labor costs and material costs were cheaper in Mississippi, so Acme Brick was relocating their multi-million ton faciny Elmer had worked for Acme Brick for over 25 years, and knew everything about how the process worked. His daughter was a student at Lone Star College, and planned to transfer to Sam Houston State University, so moving to Mississippi was not a option for him. He was sad to lose his job, and did not know what he was going to do Mickey says, "Took Elmer, you have no job, and I am stuck working for an employer that I do not like. Why not combine your brick making skills with my business skills, and, we go into business for ourselves" And, with that "Elmer Fudd's Brick Making Company, LLC" was born. Elmer and Mickey began making a budget so that they could forecast their revenue and expenses. 5,000 90% mfg, and 10 % admin 2.500 3.000 split like building rent 1,000 split lke building rent Estimated Overhead (Monthly) Rent on Building and Land Portable Brick-Making Machine Insurance Property Taxes Fork Lift Rental Office Equipment -Deprciation Front Loader Rental 1,000 190 1,500 1,800 split like building rent 3,000 split like building rent Estimated Utilities Estimated Supplies 18,990 Estimated Overhead per Month Estimated Labor Costs (Monthly) Elmer Fudd Mickey Mouse Sales Staff Factory Labor 5,000 split 70 % mfg , 30 % admin 2,500 100% administration 2,400 100% administration 10,320 100% Mfg 20,220 Est. Monthly Salary/Wages 2,022 Estimated Payroll Taxes (10 % ) 7 9 deleter U J Page 2 Direct Materials Costs 0.30 per brick 0.25 per brick 0.20 per brick 0.18 per brick 10.000 bricks 20,000 bricks 30,000 bricks 40.000 bricks N Predese.rosnea over nead rose Questions: What is the Pre-determind Overhead Rate at 10,000 bricks is.gao/10.00 o 20,000 bricks 1 Estimateo mea ciHCosT EsTirnarea ToYa unusn 30.000 bricks Tme onocarion uose 40,000 bricks What is the Manufacturing Cost per brick at: 10,000 bricks 20,000 bricks 30.000 bricks 40,000 bricks Assuming, that labor is fixed for all levels of production. Prepare an Income statement based on the following production volumes: 3 (Assuming the following pricing structure.) 10,000 bricks 20.000 bricks 30.000 bricks 3.20 for each brick soldi 2.20 for each brick sold. 1.80 for each brick sold 1.50 for each brick sold 40.000 bricks Based on the information provided, at what level of the sales should the company try to achieve ?? Explain Why 4
