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Hello. I need help explaining how to get to the solution of a problem like the one below. Problem 9-2A (Part Level Submission) (Video) Deleon
Hello. I need help explaining how to get to the solution of a problem like the one below.
Problem 9-2A (Part Level Submission) (Video) Deleon Inc. is preparing its annual budgets for the year ending December 31, 2020. Accounting assistants furnish the data shown below. Sales budget: Anticipated volume in units Unit selling price Production budget: Desired ending finished goods units Beginning finished goods units Direct materials budget: Direct materials per unit (pounds) Desired ending direct materials pounds Beginning direct materials pounds Cost per pound Direct labor budget: Direct labor time per unit Direct labor rate per hour Budgeted income statement: Total unit cost Product JB 50 404,400 $23 27,300 34, 700 2 34,200 44,400 $3 0.4 SIO $14 Product JB 60 202,600 $28 19,000 13,000 2 19,400 12,000 $3 0.6 SIO $22 An accounting assistant has prepared the detailed manufacturing overhead budget and the selling and administrative expense budget. The latter shows selling expenses of $663,000 for product Ja SO and $361,000 for product JB 60, and administrative expenses of $544,000 for product JB 50 and $343,000 for product JB 60. Interest expense is $150,000 (not allocated to products). Income taxes are expected to be 30%. Prepare the sales budget for the year. DELEON INC. SalB Budget JB 50 JB 60 Tota I
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