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Kelvin, Inc. manufactures model airplane kits and projects production at 3 5 0 , 1 2 0 , 3 0 0 , and 5 5
Kelvin, Inc. manufactures model airplane kits and projects production at and kits for the next four quarters.
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Prepare Kelvin's direct materials budget, direct labor budget, and manufacturing overhead budget for the year. Round the direct labor hours needed for production, budgeted overhead
costs, and predetermined overhead allocation rate to two decimal places. Round other amDirect materials are seven ounces of plastic per kit and the plastic costs $ per ounce. Indirect materials are considered insignificant and are not included in the budgeting process. Beginning Raw Materials Inventory is ounces and the company desires to end each quarter with of the materials needed for the next quarter's production. Kelvin desires a balance of ounces in Raw Materials Inventory at the end of the fourth quarter. Each kit requires hours of direct labor at an average cost of $ per hour. Manufacturing overhead is allocated using direct labor hours as the allocation base. Variable overhead is $ per kit, and fixed overhead is $ per quarter.
popup coDirect materials are seven ounces of plastic per kit and the plastic costs $ per ounce. Indirect materials are considered insignificant and are not included in the budgeting process. Beginning Raw Materials Inventory is ounces and the company desires to end each quarter with of the materials needed for the next quarter's production. Kelvin desires a balance of ounces in Raw Materials Inventory at the end of the fourth quarter. Each kit requires hours of direct labor at an average cost of $ per hour. Manufacturing overhead is allocated using direct labor hours as the allocation base. Variable overhead is $ per kit, and fixed overhead is $ per quarter.
popup content endsntent endsounts to the nearest whole number.
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