Homework: 9-57A Score: 0 of 5 pts P9-57A (similar to) Click the icon to view the data) Read the tequirements Eeeel-eel-ee Total cash collections the first quarter of the upcoming year. The following data pertain to Dickson Manufacturing's operations: ick the icon to vievw Data Table r January, Februa Current Assets as of December 31 (prior year) Cash Accounts receivable, net Inventory 4.600 $ 48,000 15,100 S120.500 S 43.000 $126,000 s 22 600 March QuProperty, plant, and equipment net Accounts payable Capital stock Retained earnings pntDone ts ma More info a.Actual sales in December were $71,000. Selling price per unit is projected to remain stable at $12 per unit throughout the budget period. Sales for the first five months of the upcoming year are budgeted to be as follows $99.600 $ 118,800 s 115.200 S108,000 $ 103.200 on Ma Collect February March b-Sales are 35% cash and 65% credit All credit sales are collected in the month following the sale C. Dickson Manufacturing has a policy that states that each months ending inventory of finished goods should be 10% of the following month's sales (in units) should be 20% of next month's production needs 0.05 The direct labor rate per hour is $9 per hour. All direct labor is paid for in the month in which the work is performed The d. Of each month's direct material purchases 20% are paid for in the month of purchase, while the remainder is paid for in the month. purchase. T Three pounds of direct material is needed per unit at $2.00 per pound. Ending inventory of direct materials e.Most of the labor at the manufacturing facility is indirect, but there is some direct labor incurred. The direct labor hours per unit is direct labor total cost for each of the upcoming three months is as follows s and t Print Done g -x purchase. Three pounds of direct material is needed per unit at $2.00 per pound Ending inventory of direct materials should be 20% of next month's pr e.Most of the labor at the manufact needs facility is indirect, but there is some direct labor incurred The direct labor hours per unit is le of ca 0.05. The direct labor rate per hour is $9 per hour. All direct labor is paid for in the month in which the work is performed. The direct labor total cost for each of the upcoming three months is as follows: Col S 3,807 4442 $ 4293 February March unit for variable manufacturing overhead No depreclation is included in these figures. All expenses are paid in the month in which will purchase equipment for $5,000 (cash), while February's cash expenditure will be $12 200 and March's cash expenditure will f. Monthly manufacturing overhead costs are 55,500 for factory rent, $2.900 for other fixed manufacturing expenses, and $1.10 per the a be $16.600 h.Operating expenses are budgeted to be $1.25 per unit sold plus fixed operating expenses of $1 800 per month All operating expenses are paid in the month in which they are incurred No depreciation is included in these figures i. Depreciation on the building and equipment for the general and administrative offices is budgeted to be $5 000 for the entire s and t PrintDone 1 of 1 (0 complete) More Info S 4,442 4.293 March f.Monthly manufacturing overhead costs are $5,500 for factory rent $2,900 for other fixed manufacturing expenses, and $1.10 per unit for variable m overhead No depreciation is included in these figures. All expenses are paid in the month in which they are incurred llect g.Computer equipment for the administrative offices will be purchased in the upcoming quarter In January Dickson Manufacturing will purchase equipment for $5,000 (cash) while February's cash expenditure will be $12.200 and March's cash expenditure will h.Operating expenses are budgeted to be $1 25 per unit sold plus fixed operating expenses of $1.800 per month All operating i. Depreciation on the building and e j. Dickson Manufacturing has a policy that the ending cash balance in each month must be at least $4,000. It has a line of credit with be $16,600 expenses are paid in the month in which they are incurred No depreciation is included in these figures quarter, which includes depreciation on new a balance of$120 000 The interest rate on these loans is 1% per month simple interest (not c t for the general and administrative offices is budgeted to be $5,000 for the entire alocal bank. The company can borrow in increme ents of $1,000 at the beginning of each month up to a total outstanding foan any would pay down on the line of credit balance in increments of $1,000 if it has excess funds at the end of the quarter. The company would also the accumulated interest at the end of the quarter on the funds borrowed during the quarter .The company's income tax rate is projected to be 30% of operating income less interest expense. The company pays S10.000 cash at the end of February in estimated taxes nd