Partial Master Budget

Rhett Corporation manufactures and sells dress shirts. Rhett Corporation will use the following information to prepare its master budget for the second quarter of the year:

Rhett Corporation budgeted sales in units:

April: 14,000 units

May: 17,000 units

June: 20,000 units

July: 12,000 units

Selling price: $30 per shirt

Information for the Production Budget:

Ending finished goods inventory at March 31st: 1,400 shirts

Desired ending inventory of shirts: 10% of the next month's sales

Information for the Direct Materials Budget:

Each shirt (unit) requires: 3 yards of cloth

Ending Inventory of cloth in yards at March 31st: 6,435 yards

Desired ending inventory of cloth in yards: 15% of the next month's production needs

Materials needed for production for July: 35,400 yards

Cloth costs: $2 per yard

Required:

Using the above information, enter the totals for the sales, production and materials budgets below. For the numbers listed with a "?". please calculate those using a piece of scratch paper.

Your amounts should be WHOLE NUMBERS ONLY. NO COMMAS, NO DECIMALS, NO DOLLAR SIGNS or other characters.

Partial Master Budget - Second Quarter

Sales Budget:	April	May	June
Budgeted sales in units	14,000	17,000	20,000
Budgeted sales in dollars @ $30 per shirt	$	$	$
Production Budget:	April	May	June
Sales budget in units	14,000	17,000	20,000
Add: Desired ending inventory (units)	?	?	?
Required units of available production	?	?	?
Less: Beginning inventory	?	?	?
Units to be produced
Materials Budget:	April	May	June
Production budget (units)	? - from above	? - from above	? - from above
Materials per unit needed for production (in yards)	3	3	3
Total materials needed for production (in yards)	?	?	?
Add: Desired ending inventory (in yards)	?	?	?
Total materials needed (in yards)	?	?	?
Less: Beginning inventory in yards	?	?	?
Materials Purchases in Yards	?	?	?
Cloth costs per yard	$2	$2	$2
Materials Purchases in Dollars	$	$	$