Hello, Please se my attached 4 question. The yellow highlight is the actual question its self. Please help!
#1 EX 22-5 Melody Audio Company manufactures two models of speakers, DL and XL. Based on the following production and sales data for Sept. 2007, prepare (a) a sales budget and (b) a production budget. DL XL Estimated inventory (units), Sept 1................................... 140 380 Desired inventory (units), Sept. 30................................... 110 450 Expected sales volume (units): East Region............................................................... 3200 West Region............................................................. 4400 2950 2100 Unit sales price.......................................................... 170.00 120.00 #2 EX 22-14 Fresh Mint Candy Company budgeted the following costs for aniticipated production for July 2008. Advertising expense 275000 125000 Production supervisor wages Manufacturing supplies Production control salaries 14000 Power and light 205000 42000 Sales commissions 29000 290000 Factory insurance 23000 33000 Executive officer salaries Materials management salaries Factory deprecitation 17000 Prepare a factory overhead cost budget, separating variable and fixed costs. Assume that factory insurance and depreciation are the only factory fixed costs. #3 EX22-16 The controller of Moravian Ceramics Inc. wishes to prepare a cost of goods sold budget for April. The controller assembled the following information for constructing the cost of goods sold budget: Direct Materials: Enamel Total direct materials purchases budgeted for April 32450 4730 114240 151420 Estimated inventory, April 1st, 2008 1150 2800 4330 8280 Desired inventory, April 30, 2008 2500 2050 6000 10550 Direct Labor Cost: Total Paint Kiln Dept. Total direct labor cost budgeted for April 37500 Finished goods inventories: Total Porcelain Total Decorating Dept. 134400 Dish 171900 Bowl Figurine Estimated inventory, Apr. 1, 2008 4280 2970 2470 9720 Desired inventory, April 30th, 2008 3350 4150 3700 11200 Work in process inventories: Estimated inventory, April 1, 2008 Desired inventory, Apr 1, 2008 2800 1750 Budgeted Factory overhead costs for April: Indirect factory wages 55500 Depreciation of plant and equipment 12600 Power and light Indirect materials Total 4900 3700 76700 ______ Instructions: Use the preceding information to prepare a cost of goods sold budget for April 2008 Question #4 PR22-4A The controller of Santa Fe Housewares Inc. instructs you to prepare a monthly cash budget for the next three months. You are presented with the following budget information: August September Sales....................................................................... 715000 845000 630000 Manufacturing Cost............................................. 360000 410000 October 350000 Selling and administrative expenses................ 235000 170000 205000 Capital expenditures.......................................... 150000 The company expects to sell about 10% of its merchandise for cash. Of sales on account, 70% are expected to be collected in full in the month following the sale and the remainder the following month. Depreciation, insurance, and property tax expense represent 25000 of the estimated monthly manufacturing costs. The annual insurance premium is paid in July, and the annual property taxes are paid in November. Of the remainder of the manufacturing costs, 80% are expected to be paid in the month in which they are incurred and the balance in the following month. Current assets as of August 1 include cash of 50000, marketable securities of 85000, and accounts receivable of 635000 (500000 from July sales and 135000 from June sales). Sales on account for June and July were 450000 and 500000, respectively. Current liabilities as of August 1 include a 100000, 15%, 90-day note payable due October 20 and 65000 of accounts payable incurred in July for manufacturing costs. All selling and administrative expenses are paid in cash in the period they are incurred. It is expected that 1800 in dividends will be received in August. An estimated income tax payment of 39000 will be made in September. Santa Fe regular quarterly dividend of 12000 is expected to be declared in September and paid in October. Management desires to maintain a minimum cash balance of 40000. Instructions: 1. Prepare a monthly cash budget and supporting schedules for August, September, and October. 2. On the basis of the cash budget prepared in part (1), what recommendation should be made to the controller
