Lens Junction sells lenses for $43 each and is estimating sales of 16,000 units in January and 17,000 in February. Each lens consists of 2 pounds of silicon costing $2.50 per pound, 3 oz of solution costing $3 per ounce, and 30 minutes of direct labor at a labor rate of $16 per hour. Desired inventory levels are:

	Jan. 31	Feb. 28	Mar. 31
Beginning inventory
Finished goods	4,300	4,900	5,200
Direct materials: silicon	8,300	8,900	9,300
Direct materials: solution	11,400	12,100	12,800

Question Content Area

Prepare a sales budget.

Lens Junction Sales Budget For the Two Months Ending February 28, 20XX

	January	February
Expected Sales (Units)	fill in the blank 8a135b040f8c019_1	fill in the blank 8a135b040f8c019_2
Sales Price per Unit	$fill in the blank 8a135b040f8c019_3	$fill in the blank 8a135b040f8c019_4
Total Sales Revenue	$fill in the blank 8a135b040f8c019_5	$fill in the blank 8a135b040f8c019_6
Total	$fill in the blank 8a135b040f8c019_7

Question Content Area

Prepare a production budget.

Lens Junction Production Budget For the Two Months Ending February 28, 20XX

	January	February
Expected Sales	fill in the blank a0da50fe8fff075_1	fill in the blank a0da50fe8fff075_2
Add: Beginning InventoryAdd: Desired Ending InventoryLess: Beginning InventoryLess: Desired Ending Inventory	- Select -	- Select -
Total Required Units	fill in the blank a0da50fe8fff075_6	fill in the blank a0da50fe8fff075_7
Add: Beginning InventoryAdd: Desired Ending InventoryLess: Beginning InventoryLess: Desired Ending Inventory	- Select -	- Select -
Required Production	fill in the blank a0da50fe8fff075_11	fill in the blank a0da50fe8fff075_12
Total	fill in the blank a0da50fe8fff075_13

Question Content Area

Prepare direct materials budget for silicon.

Lens Junction Direct Materials Budget for Silicon For the Two Months Ending February 28, 20XX

	January	February
Units to be Produced	fill in the blank ed943bfa1ff0fb1_1	fill in the blank ed943bfa1ff0fb1_2
Direct Material per Unit	fill in the blank ed943bfa1ff0fb1_3	fill in the blank ed943bfa1ff0fb1_4
Total Ounces Needed for Production	fill in the blank ed943bfa1ff0fb1_5	fill in the blank ed943bfa1ff0fb1_6
Add: Beginning InventoryAdd: Desired Ending InventoryLess: Beginning InventoryLess: Desired Ending Inventory	- Select -	- Select -
Total Material Required	fill in the blank ed943bfa1ff0fb1_10	fill in the blank ed943bfa1ff0fb1_11
Add: Beginning InventoryAdd: Desired Ending InventoryLess: Beginning InventoryLess: Desired Ending Inventory	- Select -	- Select -
Ounces of Direct Material Purchase Requirements	fill in the blank ed943bfa1ff0fb1_15	fill in the blank ed943bfa1ff0fb1_16
Cost per Ounce	$fill in the blank ed943bfa1ff0fb1_17	$fill in the blank ed943bfa1ff0fb1_18
Total Cost of Direct Material Purchase	$fill in the blank ed943bfa1ff0fb1_19	$fill in the blank ed943bfa1ff0fb1_20
Total Direct Materials Silicon for Two Months Ending February 28, 20XX		$fill in the blank ed943bfa1ff0fb1_21

Question Content Area

Prepare direct materials budget for solution.

Lens Junction Direct Materials Budget for Solution For the Two Months Ending February 28, 20XX

	January	February
Units to be Produced	fill in the blank 41a6affec01403f_1	fill in the blank 41a6affec01403f_2
Direct Material per Unit	fill in the blank 41a6affec01403f_3	fill in the blank 41a6affec01403f_4
Total Ounces Needed for Production	fill in the blank 41a6affec01403f_5	fill in the blank 41a6affec01403f_6
Add: Beginning InventoryAdd: Desired Ending InventoryLess: Beginning InventoryLess: Desired Ending Inventory	- Select -	- Select -
Total Material Required	fill in the blank 41a6affec01403f_10	fill in the blank 41a6affec01403f_11
Add: Beginning InventoryAdd: Desired Ending InventoryLess: Beginning InventoryLess: Desired Ending InventoryLess: Sales	- Select -	- Select -
Ounces of Direct Material Purchase Requirements	fill in the blank 41a6affec01403f_15	fill in the blank 41a6affec01403f_16
Cost per Ounce	$fill in the blank 41a6affec01403f_17	$fill in the blank 41a6affec01403f_18
Total Cost of Direct Material Purchase	$fill in the blank 41a6affec01403f_19	$fill in the blank 41a6affec01403f_20
Total Direct Materials Solution for Two Months Ending February 28, 20XX		$fill in the blank 41a6affec01403f_21

Question Content Area

Prepare a direct labor budget.

Lens Junction Direct Labor Budget For the Two Months Ending February 28, 20XX

	January	February
Units to be Produced	fill in the blank 826aa0f8a016057_1	fill in the blank 826aa0f8a016057_2
Direct Labor Hours per Unit	fill in the blank 826aa0f8a016057_3	fill in the blank 826aa0f8a016057_4
Total Required Direct Labor Hours	fill in the blank 826aa0f8a016057_5	fill in the blank 826aa0f8a016057_6
Labor Cost per Hour	$fill in the blank 826aa0f8a016057_7	$fill in the blank 826aa0f8a016057_8
Total Direct Labor Cost	$fill in the blank 826aa0f8a016057_9	$fill in the blank 826aa0f8a016057_10
Total Direct Labor Budget For Two Months Ending February 28, 20XX		$fill in the blank 826aa0f8a016057_11