Chapter 8: Applving Excel Data Budgeted unit sales Selling price per unit Accounts receivable, beginning balance Sales collected in the quarter sales are made Year 2 Quarter Year 3 Quarter 1 2 3 40,000 60,000 100,000 4 50,000 1 2 70,000 $8 $65,000 75% 25% Sales collected in the quarter after sales are made Desired ending finished goods inventory is Finished goods inventory, beginning Raw materials required to produce one unit Desired ending inventory of raw materials is Raw materials inventory, beginning Raw material costs Raw materials purchases are paid and Accounts payable for raw materials, beginning balance 30% of the budgeted unit sales of the next quarter 12,000 units 5 pounds 10% of the next quarter's production needs 23,000 pounds $0.80 per pound 60% in the quarter the purchases are made 40% in the quarter following purchase $81,500 Enter a formula into each of the cells marked with a ? below Review Problem: Budget Schedules Construct the sales budget Budgeted unit sales Selling price per unit Total sales Construct the schedule of expected cash collections Beginning balance accounts receivable First-quarter sales Second-quarter sales Third-quarter sales Fourth-quarter sales 80,000 1 Year 2 Quarter 2 Year 3 Quarter 3 4 1 2 ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? Year 2 Quarter 1 2 3 4 Year ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? Total cash collections ? Construct the production budget Year 2 Quarter Year 3 Quarter 1 2 3 4 Year 1 2 Budgeted unit sales ? ? ? ? ? ? ? Add desired ending finished goods inventory Total needs ? ? ? ? ? ? ? ? ? ? ? ? Less beginning finished goods inventory ? ? ? ? ? Required production in units ? ? ? ? ? ? Construct the raw materials purchases budget Year 2 Quarter Year 3 Quarter 1 2 3 4 Year 1 Required production (units) ? ? ? ? ? ? Raw materials required to produce one unit (pounds) Production needs (pounds) ? ? ? ? ? ? ? ? ? ? ? ? Add desired ending inventory of raw materials (pounds) Total needs (pounds) ? ? ? ? ? ? ? ? ? ? Less beginning inventory of raw materials (pounds) ? ? ? ? ? Raw materials to be purchased (pounds) ? ? ? ? ? Cost of raw materials per pound ? ? ? ? ? Cost of raw materials to be purchased ? ? ? ? ? Construct the schedule of expected cash payments Year 2 Quarter 1 2 3 4 Year Beginning balance accounts payable ? ? First-quarter purchases ? ? ? Second-quarter purchases ? ? ? Third-quarter purchases ? ? ? Fourth-quarter purchases Total cash disbursements ? ? ? ? ? ? ?