Chapter 8 Applying Excel (B) i Save & Exi Saved Help Chec 1 ! Required information The Chapter 8 Form worksheet is to be used to create your own worksheet version of the Review Problem in the text. 10 points Requirement 2 The company has just hired a new marketing manager who insists that unit sales can be dramatically increased by dropping the selling price from $8 to $7. The marketing manager would like to use the following projections in the budget: eBook Print References Year 2 Quarter Year 3 Quarter 1 Data 3 4 1 2 Budgeted unit sales Selling price per unit 50,000 65,000 120.000 65,000 90.000 90,000 $7 10 A C D E E G points Chapter 8: Applying Excel 2 eBook Year 3 Quarter Dats Print 4 1 2 4 1 2 Budgeted unit sales 5 50,000 65.000 120.000 65.000 90,000 90,000 References 6 Selling price per unit per unit 7 S Accounts receivable, beginning balance S 65,000 Sales collected the quarter sales are made 75% 10 Sales collected the quarter after sales are made 25% Desired ending finished goods inventory is 30% of the budgeted unit sales of the next quarter 11 Finished goods inventory, beginning 12.000 units 12 Raw materials required to produce one unit pounds 13 14 Desired ending inventory 10 % of the next quarter's production needs raw materials is 23,000 pounds 15 Raw materials inventory, beginning 16Raw material costs 0.80 per pound 60% in the quarter the purchases are made Raw materials purchases are paid 17 40% in the quarter following purchase 18 and 19 S 81,500 Accounts payable for raw materials, beginning balance 10 points a. What are the total expected cash collections for the year under this revised budget? Expected cash collections for the year eBook Print References b. What is the total required production for the year under this revised budget? Total required production for the year c. What is the total cost of raw materials to be purchased for the year under this revised budget? Total cost of raw materials to be purchased for the year Print erences d. What are the total expected cash disbursements for raw materials for the year under this revised budget? Total expected cash disbursements for raw materials for the year e. After seeing this revised budget, the production manager cautioned that due to the current production constraint, a complex milling machine, the plant can produce no more than 90,000 units in any one quarter. Is this a potential problem? No OYes