Number of Units e-usls Ma 5 units from connect Sales Price a - r unit from connect Gross Sales Revenue (multiply) Less Discount 3% of Gross Sales Revenue Net Sales for Special Order b) Complete the Revised Sales Budget below by including the \"Net Sales for Special Order\" in the table below. . .ril 2019 Ma 2019 June 2019 Totals for the 2Ml . usrter ZIGBY MANUFACTURING Change to smooth Production Budget April, May, and June 2019 April May June Total Budgeted ending inventory (calculate for April, row 3 of connect for May and June) 25,280 16,720 16,640 Budgeted units sales for month 20,800 43,200 20,900 Required units of available production 46,080 59,920 37,540 Beginning inventory (units) 16,640 25,280 16,720 Units to be produced during the month 29,440 34,640 20,820 84,900ZIGBY MANUFACTURING Revised Raw Materials Budget April May June Total Production budget (units) 21,440 21,040 20,820 Materials requirements per unit 0.50 0.50 0.50 (unchanged from connect) Materials needed for production 10,720 10,520 10,410 Idgeted 3, 156 3,123 4,200 Total materials requirements (units) 13,876 13,643 14,610 Beginning inventory 5,360 3,156 3,123 Materials to be purchased 8,516 10,487 11,487 30,490 Material price per unit $20.00 $20.00 $20.00 $20.00 Raw Material purchases before Discount $170,320.00 $209,740.00 $229,740.00 $609,800.00 Discount (5% of purchases exceeding $487 $1,487.00 $1,974.00 10,000 (bs) Budgeted raw material purchases $170,320.00 $209,253.00 $228,253.00 |$607,826.00 4) To maintain moral among their employees, Zigby has agreed to pay employees a wage premium of $3 an hour for excess overtime. Excess overtime has been defined as any hours in excess of 13,000 hours in a month. The Direct Labor Budget will need to be updated for the changes to the production budget and the wage premium added for each month. This table is completed similarly to the budget table in connect. ZIGBY MANUFACTURING Revised Direct Labor Budget April May June Total Budgeted production (units) 29,440 36,640 20,820 84,900 Labor requirements per unit (hours) .50 .50 50 0.50 Total labor hours needed 14,720 17,320 10,410 42,450 Direct labor rate (per hour) $17 $17 $17 $17 Base direct labor cost 250,240 294,440 176,970 721,650 Wage premium (3xhours over 13,000) 5,160 12,960 18,120 Total Budgeted direct labor costs 255,400 307,400 176,970 739,770 5) Factory Overhead Budget will need to be updated for the production and labor requirement changes. This table is completed similarly to the budget table in connect. ZIGBY MANUFACTURING Revised Factory Overhead Budget April May June Total Labor hours needed 14,720 17,320 10,410 42,450 Variable factory overhead rate 13,000 13,000 13,000 39.000 Budgeted variable overhead 1,720 4,320 2,590 3,450 Budgeted fixed overhead $3 $3 $3 Budgeted total overhead 5, 160 12,960 18,120Current month's cash sales from connect) 520 000.00 540 000.00 522 500.00 156 000.00 162 00.00 156 750.00 Current month's credit sales collected 20% of current months credit sates Previous month's credit sales collected 80% of o = vious months sales 75 60030 73 15030 _I Special order collected in June _ 302,400.00 Total cash receipts . 1,066,000 0 800.00 7) Additionally, to conserve cash, the company has decided to delay payment for their raw material purchases. The company previously paid 100% of their raw material purchases (revised budget in 3) in the month after the purchase was made. Starting with March purchases (Accounts Payable balance at 3:31), Zigby plans to only pay 80% of their purchases in the rst month after the purchases are made. The remaining 20% will be paid in the second month after pm'chase (Example: 80% of accounts payable on March 31 will be paid in April and the remaining 20% will be paid in May. April sales will be paid in May and June, etc.) Remember: Purchases budgeted in 3 increased accounts payable (credit) while estimated payments here decreases accounts payable (debit). March 31 Accounts Payable ' ril uurchases May Purchases June Purchases Total cash . . ments - : ZIGBY MANUFACTURING Revised Cash Budget April May June Beginning cash balance 42,000 59,790 87,020 Cash receipts from customers 520,000 526,000 534,750 Total cash available 562,000 585,790 621,770 Cash payments for: Raw materials 211,300 212,400 209,300 Direct labor 182,240 178,840 176,970 Variable overhead 32,160 31,560 31,230 Sales commissions 41,600 43,200 41,800 Sales salaries 3,200 3,200 3,200 General & administrative salaries 14,000 14,000 14,000 Dividends 12,000 Loan interest 140 Long-term note interest 3,570 3,570 3,570 Purchases of equipment 132,000 Total cash payments 488,210 498,770 612,070 Preliminary cash balance 73,790 87,020 9,700 Additional loan (loan repayment) (14,000) 32,300 Ending cash balance 59,700 87,020 42,000 Revised Loan balance: ST note payable April May June Loan balance - Beginning of month 14,000 0 0 Additional loan (loan repayment) (14,000) 32,300 Loan balance - End of month 0 32,300Sales, net of discount Cost of code sold from 10 Gross profit Sales commissions Sales salaries General administrative salaries Lonu-term note interest Bank loan interest expense Total o -ratin ex-enses Income before taxes Income tax Net income