G H A B D E F 1 Chapter 8: Applying Excel 2 3 Data Year 2 Quarter Year 3 Quarter 4 1 2 4 1 2 5 Budgeted unit sales 40.000 60,000 100,000 50,000 70,000 80,000 6 7 - Selling price per unit $8 per unit 8 Accounts receivable, beginning balance $65,000 9 Sales collected in the quarter sales are made 75% 10 Sales collected in the quarter after sales are made 25% 11 Desired ending finished goods inventory is 30% of the budgeted unit sales of the next quarter 12 . Finished goods inventory beginning 12,000 units 13. Raw materials required to produce one unit 5 pounds 14. Desired ending inventory of raw materials is 10% of the next quarter's production needs 15 - Raw materials inventory, beginning 23,000 pounds 16 - Raw material costs $0.80 per pound 17 . Raw materials purchases are paid 60% in the quarter the purchases are made 18 and 40% In the quarter following purchase 19 Accounts payable for raw materials, beginning balance $81,500 20 21 Entora fomula into oach of the cells markod with a bolow 22 Review Problem: Budget Schedules 23 24 Construct the sales budget Year 2 Quarter Year 3 Quarter 25 1 2 3 4 1 2 26 Budgeted unit sales 40,000 60,000 100,000 50,000 70,000 80,000 27 Selling price per unit $8 $8 $8 $8 $8 $8 28 Total sales $320,000 $480,000 $800,000 $400,000 $560,000 $640,000 29 30 Construct the schedule of expected cash collections Year 2 Quarter 31 1 2 3 4 Year 32 Accounts receivable, beginning balance $ 65,000 $ 65,000 33 First quarter sales 240,000 $ 80,000 $320,000 34 Second-quarter sales 360,000 $80,000 440,000 35 Third quarter sales 600,000 $ 200,000 800,000 36 Fourth quarter sales $300,000 $300,000 37 Total cash collections $ 305,000 $440,000 $ 680,000 $500,000 $1,925,000 BR Chapter 8 Form + G H B D E F Z 3 Year $ 65,000 $ 65,000 240,000 $ 80,000 $320,000 360,000 $ 80,000 440,000 600,000 $200,000 800,000 $300 000 $300.000 $ 305,000 $ 440,000 $ 680,000 $ 500.000 $ 1.925,000 Yoar 1 40,000 18,000 ? ? 7 Year 2 Quarter 2 3 60,000 100,000 30 000 15,000 ? 2 2 ? ? ? 4 50,000 #VALUE! ? ? ? 7 ? ? ? ? Year 3 Quarter 1 2 ? ? ? ? 2 1 4 Year 31 32 Accounts receivable, beginning balance 33 First-quarter sales 34 Second-quarter sales 35 Third quarter sales 36 Fourth quarter sales 37 Total cash collections 38 39 Construct the production budget 40 41 Budgeted unit sales 42 Add desired finished goods inventory 43 Total needs 44 Less beginning inventory 45 Required production 46 47 Construct the raw materials purchases budget 48 49 Required production (units) 50 Raw materials required to produce one unit 51 Production needs (pounds) 52 Add desired ending inventory of raw materials (pounds) 53 Total needs (pounds) 54 Less beginning inventory of raw materials (pounds) 55 Raw matenals to be purchased 56 Cost of raw materials per pound 57 Cost of raw materials to be purchased 58 59 Construct the schedule of expected cash payments 60 61 Accounts payable, beginning balance 62 First quarter purchases 63 Second-quarter purchases 64 Third-quarter purchases 65 Fourth quarter purchases 66 Total cash disbursements 67 58 Chapter 8 Form ? ? ? 2 2 ? ? ? ? Year 2 Quarter 2 3 ? ? 2 2 ? ? 2 ? ? 2 ? ? ? ? ? ? 2 ? ? ? ? ? ? ? ? ? 2 Year 3 Quarter 1 2 2 2 2 ? 7 ? ? ? ? ? ? Year 2 Quarter 2. 3 1 4 Year ? 2 ? ? ? ? ? ? ? ? 2 ? ? ? ? 7 2
