Credit sales are collected: 40% in the month of the sale --- 60% in the following month

Raw materials purchases are paid: 40% in the month of purchase --- 60% in the following month

j. What is the total estimated direct labor cost for November assuming the direct labor workforce is adjusted to match the hours required to produce the forecasted number of units produced?

k. For simplicity, we will assume that there is no fixed manufacturing overhead and that the variable manufacturing overhead is $7.00 per direct labor-hour. What is the estimated unit product cost?

l. What is the estimated finished goods inventory balance at the end of November?

m. What is the estimated cost of goods sold and gross margin for November?

n. What is the estimated total selling and administrative expense for November? o. What is the estimated net operating income for November?

1) Mumbower Corporation makes one product and has provided the following information to help prepare the master budget for the next four months of operations: Budgeted selling price per unit $103 Budgeted unit sales (all on credit): October November 9,500 10,700 9,800 10,800 4 pounds December January Raw materials requirement per unit of output Raw materials cost Direct labor requirement per unit of output Direct labor wage rate $5.00 per pound 2.8 direct labor-hours $19.00 per direct labor- hour $1.60 per unit sold Variable selling and administrative expense Fixed selling and administrative expense $80,000 per month