Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

I want the solution for the master budget all of it, requirement ( b ). Thank you Calibri Bold (Bod18B Imperial Woodworking Ltd manufacture specialist

I want the solution for the master budget all of it, requirement ( b ). Thank you image text in transcribed
image text in transcribed
image text in transcribed
Calibri Bold (Bod18B Imperial Woodworking Ltd manufacture specialist wood furniture and sell their products all over Saudi Arabia. The company was established three years ago in Jeddah and is performing well to date. Imperial woodworking Ltd have three main product lines; TV tables, dining table and chairs. The following financial information has been provided. Financial Information: Selling Price per unit Direct Materials cost per 1 Kg of wood timber Kg of wood timber required per unit Direct Labour hour cost TV tables dining Tables Chairs SAR 1,000 SAR 5,000SAR 700 SAR 50 10 SAR 30 SAR 10 SAR 50 35 SAR 30 SAR 15 SAR 24 4 200 SAR 50 SAR 30 SAR 5 SAR 18 Sales commission per item sold Variable manufacturing overhead per unit Number of labour hours per unit Budgeted sales in units SAR 20 300 450 Additional Information: a) Other costs: Production manager annual salary SAR 60,000 Annual marketing costs SAR 10,000- related to TV tables General Expenses SAR 5,000 Annual Fixed manufacturing overhead (excluding depreciation) SAR 10,000 (20% relates to TV tables) b) Annual equipment depreciation SAR 10,000 c) The company had 8 TV tables and 100 kg of wood timber in stock at the end of d) Company policy is to maintain 20% of the following months sales level as closing e) Company policy to maintain 25% of next months' production needs as closing f) Budgeted sales of TV tables for the next six months are as follows: September inventory for finished goods. inventory for direct materials October November December January 20 ebruary 20 40 35 20

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_2

Step: 3

blur-text-image_3

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

Principles Of Financial Management

Authors: Haim Levy, Marshall Sarnat

1st Edition

0137097751, 978-0137097753

More Books

Students also viewed these Finance questions

Question

Tell me what you know about our organization and the position.

Answered: 1 week ago

Question

13.1 Explain the strategic role of employee benefits.

Answered: 1 week ago