Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

HW Scorec 0%, 0 of 20 pts Question Help Score: 0 of 20 pts 1 of 1 complete P9-57A (similar to) Dewan Menunggang mabuty by

image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
HW Scorec 0%, 0 of 20 pts Question Help Score: 0 of 20 pts 1 of 1 complete P9-57A (similar to) Dewan Menunggang mabuty by the first quarter of the upcoming The following data pertain to Devon Marino Click the icon to view itonal dut) Read the Requirement 1. Proshofections for arwy, February, and March, and for the water in Devon Manufacturing Cash Collections Budget For the Quarter Ended March 1 3 January February March Quarter C 12 Clear Check Arew Assignment 1 of 1 (0 complete) ming year. The following data pertain to Devon Manufacturing's operations: onal data.) Data Table Current Assets as of December 31 (prior year): $ 4,460 --- er $ 52.000 $ Cash Accounts receivable, net Inventory Property, plant, and equipment, net Accounts payable Capital stock Retained earnings. 15,400 122.000 $ 43,000 S 123,500 $ 23.400 Print Done Clear All -bud More Info h cold ufactu cions Ended Mont a. Actual sales in December were $76,000. Selling price per unit is projected to remain stable at $9 per unit throughout the budget period. Sales for the first five months of the upcoming year are budgeted to be as follows: January $ 80,100 February $ 89,100 March $ 82,800 April $ 85,500 May $ 77,400 b. Sales are 30% cash and 70% credit. All credit sales are collected in the month following the sale. c. Devon Manufacturing has a policy that states that each month's ending inventory of finished goods should be 10% of the following month's sales (in units). d.01 each month's direct material purchases, 20% are paid for in the month of purchase, while the remainder is paid for in the month following purchase. Two pounds of direct material is needed per unit at $1.50 per pound. Ending inventory of direct materials should be 20% of next month's production needs. 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 0.03. The direct labor rate per hour is $13 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: Februl January $ 3,510 February $ 3,834 March $ 3,600 1. Monthly manufacturing overhead costs are $6,500 for factory rent, $2,900 for other fixed manufacturing expenses, and $1.40 per unit for variable manufacturing overhead. No depreciation is included in these figures. All expenses are paid in the month in which they are incurred. and then cli Print Done MacBook Air en DOO 1 of 1 (0 complete) for the first quarter of the upcoming year. The following data pertain to Devon Manufacturing's operations: (Click the icon to view additional data.) ions for i Requirements ng dget March 31 2. 3. 4. ry 1. Prepare a schedule of cash collections for January, February, and March, and for the quarter in total. Prepare a production budget. (Hint: Unit sales - Sales in dollars / Selling price per unit.) Prepare a direct materials budget. Prepare a cash payments budget for the direct material purchases from Requirement 3. (Use the accounts payable balance at December 31 of prior year for the prior month payment in January.) 5. Prepare a cash payments budget for direct labor. 6. Prepare a cash payments budget for manufacturing overhead costs. 7. Prepare a cash payments budget for operating expenses. 8. Prepare a combined cash budget. Calculate the budgeted manufacturing cost per unit (assume that fixed manufacturing overhead is budgeted to be $0.80 per unit for the year). 10. Prepare a budgeted income statement for the quarter ending March 31. (Hint: Cost of goods sold Budgeted cost of manufacturing one unit x Number of units sold.) 9. Print Done Click Check Answer. Clear All

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Montgomery Auditing Continuing Professional Education

Authors: Patrick J. McDonnell, Barry N. Winograd, James S. Gerson, Henry R. Jaenicke, Vincent M. O'Reilly

12th Edition

0471346055, 978-0471346050

More Books

Students also viewed these Accounting questions