Cook Farm Supply Company manufactures and sells a pesticide called Snare The following data are available for preparing budgets for Snare for the first 2 quarters of 2020 1 Sales quarter 1, 28,600 bags quarter 2, 43,400 bags Selling price is $62 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 50 per pound 3 Desired inventory levels Type of Inventory January 1 April 1 July 1 Snare (bags) 8,400 12,300 18,300 Gumm (pounds) 9,400 10,500 13,500 Tarr (pounds) 14,300 20,400 25,100 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 $178,000 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 $299,000 in quarter 1 and $426,500 in quarter 2 Need the bottom half completed please MYour answer is correct Prepare the sales budget COOK FARM SUPPLY COMPANY Sales Budget For the Six Months Ending June 30, 2020 Quarter Six Months 1 2 Expected Unit Sales 28600 43400 72000 Unit Selling Price 62 62 62 Total Sales 1773200 26908001 4464000 Prepare the production budget COOK FARM SUPPLY COMPANY Production Budget For the Six Months Ending June 30, 2020 Quarter Six Months 2 Expected Unit Sales 28600 43400 Add Desired Ending Finished Goods Units 123001 18300 Total Required Units 40900 61700 Less Beginning Finished Goods Units 84001 12300 Required Production Units 32500 49400 81900 COOK FARM SUPPLY COMPANY Direct Materials Budget Gumm Quarter Six 1 2 Months Prepare the direct labor budget (Enter Direct labor time per unit in proportion to hours, e g for 45 minutes the prop COOK FARM SUPPLY COMPANY Direct Labor Budget Quarter Six Months 1 2 $ Prepare the selling and administrative expense budget Prepare the selling and administrative expense budget COOK FARM SUPPLY COMPANY Selling and Administrative Expense Budget Quarter Six Months 1 2 $ $ $

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Cook Farm Supply Company manufactures and sells a pesticide called Snare. The following data are available for preparing budgets for Snare for the first 2

Cook Farm Supply Company manufactures and sells a pesticide called Snare. The following data are available for preparing budgets for Snare for the first 2 quarters of 2020.

1.		Sales: quarter 1, 28,600 bags; quarter 2, 43,400 bags. Selling price is $62 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 $1.50 per pound.
3.		Desired inventory levels:

Type of Inventory	January 1	April 1	July 1
Snare (bags)	8,400	12,300	18,300
Gumm (pounds)	9,400	10,500	13,500
Tarr (pounds)	14,300	20,400	25,100

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 $178,000 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 $299,000 in quarter 1 and $426,500 in quarter 2.

Need the bottom half completed please

image text in transcribed

MYour answer is correct. Prepare the sales budget. COOK FARM SUPPLY COMPANY Sales Budget For the Six Months Ending June 30, 2020 Quarter Six Months 1 2 Expected Unit Sales 28600 43400 72000 Unit Selling Price 62 62 62 Total Sales 1773200 26908001 4464000 Prepare the production budget. COOK FARM SUPPLY COMPANY Production Budget For the Six Months Ending June 30, 2020 Quarter Six Months 2 Expected Unit Sales 28600 43400 Add Desired Ending Finished Goods Units 123001 18300 Total Required Units 40900 61700 Less Beginning Finished Goods Units -84001 -12300 Required Production Units 32500 49400 81900 COOK FARM SUPPLY COMPANY Direct Materials Budget-Gumm Quarter Six 1 2 Months Prepare the direct labor budget. (Enter Direct labor time per unit in proportion to hours, e.g. for 45 minutes the prop COOK FARM SUPPLY COMPANY Direct Labor Budget Quarter Six Months 1 2 $ Prepare the selling and administrative expense budget. Prepare the selling and administrative expense budget. COOK FARM SUPPLY COMPANY Selling and Administrative Expense Budget Quarter Six Months 1 2 $ $ $