Please answer all parts of #8-9, I will rate.
i hope this info helps!
Okay im reiterating the entire question...
this is question 8 (the two photos below)
this is question 9 (two Photos below)
added info to answer problem 8-9
Quivers Inc. began operations on January 1 of the current year. The company produces eight-ounce bottles of jet wax called Ophelia Shine. The wax is sold wholesale in 12-bottle cases for $100 per case. There is a selling commission of $20 per case . The January direct materials , direct labor, and factory overhead costs are as follows:
Part B. Budgets During July of the current year, the management of Quivers Inc, asked the controller, Robin, to prepare August manufacturing and income statement budgets. Demand was expected to be 1,500 cases of jet wax at $100 per case for August. Inventory planning information is provided as follows: Finished Goods Inventory Cost Estimated finished goods inventory, August 1 Desired finished goods inventory, August 31 Materials Inventory Cases 300 175 $ 12,000.00 $ 7,000.00 Oils (os) Cream Base (oz.) 250 1,000 Estimated materials inventory, August 1 Desired materials inventory, August 31 290 Bortels () 600 240 360 There was negligible work in process inventory assumed for either the beginning or end of the month; thus, none was assumed. In addition, there was no change in the cost per unit or estimated units per case operating data from January Instructions 8. Prepare the August factory overhead cost budget. 9. Prepare the August budgeted income statement, including selling expenses. Requirement #8: Develop the factory overhead cost budget. Cost Cost Total Quivers Inc. Factory Overhead Cost Budget For the Month Ended August 31 Fixed Variable Utilities Facility Lease Equipment Depreciation Supplies Total factory overhead coal Fixed Cost from Cuestion Variable Utility Cost Requirement : Create the budgeted income statement Lails Price - Total Sching Esprit Quivers Inc. Budgeted Income Statement For the Mode Auge Sales Finished probeer, wat hoteles entry, August Muriat ruthaa |tha ouras| Les dros materials intery, Aug De leer om Cusco Factory from Cast of food andatud Coto finished produktet e Le food wewe! Contofoedd Grow peole The materiala, Apati Det er inney, Aus Rate Part A. Break-even Analysis The management of Quivers Inc. wants to determine the number of cases required to break even per month. The utilities cost, which is part of factory overhead, is a mixed cost. The following information was gathered from the first six months of operation regarding this cost: Month January February March April May June Case Production Utility Total Cost 500 600.00 800 $ 660.00 1,200 740.00 1,100 $ 720.00 950 $ 690.00 1,025 $ 705.00 Total Fixed Costs Utilities (see High-Low Method) Facility lease Equipment depreciation_ Supplies $ $ $ 500 14,000 4,300 660 19,460 $ Contribution Margin Selling Price S 100.00 Less variable costs per case: $17.00 Direct materials Direct labor Utilities (see High-Low Method) Selling expenses Total variable costs per case. $7.20 $0.20 $20.00 $44.40 Contribution margin per case. $55.60 High-Low Method Variable Cost per Unit Difference in Total Cost Difference in Production 700 $0.20 $140.00 Units of Production Twal Cost $740.00 $600.00 Variable Cost per Unit $0.20 $0.20 High Point Low Point X X 1,200 500 Costs $500 $500 Break-even Analysis Break-even Sales (units) Fixed Costs 1 Unit Contribution Margin $55.60 : 350 $19,460 Part B. Budgets During July of the current year, the management of Quivers Inc, asked the controller, Robin, to prepare August manufacturing and income statement budgets. Demand was expected to be 1,500 cases of jet wax at $100 per case for August. Inventory planning information is provided as follows: Finished Goods Inventory Cost Estimated finished goods inventory, August 1 Desired finished goods inventory, August 31 Materials Inventory Cases 300 175 $ 12,000.00 $ 7,000.00 Oils (os) Cream Base (oz.) 250 1,000 Estimated materials inventory, August 1 Desired materials inventory, August 31 290 Bortels () 600 240 360 There was negligible work in process inventory assumed for either the beginning or end of the month; thus, none was assumed. In addition, there was no change in the cost per unit or estimated units per case operating data from January Instructions 8. Prepare the August factory overhead cost budget. 9. Prepare the August budgeted income statement, including selling expenses. Requirement #8: Develop the factory overhead cost budget Total Quivers Inc. Factory Overhead Cost Budget For the Month Ended August 31 Fixed Variable Utilities Facility Lease Equipment Depreciation Supplies Total factory overhead cost Cost Cases Cost Total Fixed Cost from Question 3 Variable Utility Cost Requirement #9: Create the budgeted income statement Quivers Inc. Budgeted Income Statement For the Month Ended August 31 Sales Finished goods inventory, August 1 Direct materials: Direct materials inventory, August 1 Direct materials purchases (from Question 6] Cost of direct materials available for use Less direct materials inventory, August 31 Cost of direct materials placed in production Direct labor (from Question 7] Factory overhead [from Question 8] Cost of goods manufactured Cost of finished goods available for sale Less finished goods inventory, August 31 Cost of goods sold Gross profit Selling expenses Income from operations Units x Price = Total Sales Selling Expenses Cream Base (os) Oils (os) Bottels (oz) Total Direct materials inventory, August Direct materials inventory, August 31 Rate Cream Base (oz.) Oils (oz.) Bottels (oz.) Cost per Case per Unit DIRECT MATERIALS Cost Units Behavior Variable 100 oz. Variable 30 oz. Variable 12 bottles Direct Materials Cost per Case $ 2.00 9.00 Crearn base Natural oils Bottle (8-oz) $0.02 0.30 0.50 6.00 $17.00 DIRECTLABOR Time Labor Rate per Case per Hour Department Mixing Cost Behavior Variable Variable 20 min. 5 25 min. $18.00 14.40 Direct Labor Cost per Case $6.00 1.20 $7.20 Filling FACTORY OVERHEAD Cost Behavior Total Cost Utilities Mixed $ 600 Facility lease Fixed 14,000 Equipment depreciation Fixed 4,300 Supplies Fixed 660 $19,560 Part B. Budgets During July of the current year, the management of Quivers Inc, asked the controller, Robin, to prepare August manufacturing and income statement budgets. Demand was expected to be 1,500 cases of jet wax at $100 per case for August. Inventory planning information is provided as follows: Finished Goods Inventory Cost Estimated finished goods inventory, August 1 Desired finished goods inventory, August 31 Materials Inventory Cases 300 175 $ 12,000.00 $ 7,000.00 Oils (os) Cream Base (oz.) 250 1,000 Estimated materials inventory, August 1 Desired materials inventory, August 31 290 Bortels () 600 240 360 There was negligible work in process inventory assumed for either the beginning or end of the month; thus, none was assumed. In addition, there was no change in the cost per unit or estimated units per case operating data from January Instructions 8. Prepare the August factory overhead cost budget. 9. Prepare the August budgeted income statement, including selling expenses. Requirement #8: Develop the factory overhead cost budget. Cost Cost Total Quivers Inc. Factory Overhead Cost Budget For the Month Ended August 31 Fixed Variable Utilities Facility Lease Equipment Depreciation Supplies Total factory overhead coal Fixed Cost from Cuestion Variable Utility Cost Requirement : Create the budgeted income statement Lails Price - Total Sching Esprit Quivers Inc. Budgeted Income Statement For the Mode Auge Sales Finished probeer, wat hoteles entry, August Muriat ruthaa |tha ouras| Les dros materials intery, Aug De leer om Cusco Factory from Cast of food andatud Coto finished produktet e Le food wewe! Contofoedd Grow peole The materiala, Apati Det er inney, Aus Rate Part A. Break-even Analysis The management of Quivers Inc. wants to determine the number of cases required to break even per month. The utilities cost, which is part of factory overhead, is a mixed cost. The following information was gathered from the first six months of operation regarding this cost: Month January February March April May June Case Production Utility Total Cost 500 600.00 800 $ 660.00 1,200 740.00 1,100 $ 720.00 950 $ 690.00 1,025 $ 705.00 Total Fixed Costs Utilities (see High-Low Method) Facility lease Equipment depreciation_ Supplies $ $ $ 500 14,000 4,300 660 19,460 $ Contribution Margin Selling Price S 100.00 Less variable costs per case: $17.00 Direct materials Direct labor Utilities (see High-Low Method) Selling expenses Total variable costs per case. $7.20 $0.20 $20.00 $44.40 Contribution margin per case. $55.60 High-Low Method Variable Cost per Unit Difference in Total Cost Difference in Production 700 $0.20 $140.00 Units of Production Twal Cost $740.00 $600.00 Variable Cost per Unit $0.20 $0.20 High Point Low Point X X 1,200 500 Costs $500 $500 Break-even Analysis Break-even Sales (units) Fixed Costs 1 Unit Contribution Margin $55.60 : 350 $19,460 Part B. Budgets During July of the current year, the management of Quivers Inc, asked the controller, Robin, to prepare August manufacturing and income statement budgets. Demand was expected to be 1,500 cases of jet wax at $100 per case for August. Inventory planning information is provided as follows: Finished Goods Inventory Cost Estimated finished goods inventory, August 1 Desired finished goods inventory, August 31 Materials Inventory Cases 300 175 $ 12,000.00 $ 7,000.00 Oils (os) Cream Base (oz.) 250 1,000 Estimated materials inventory, August 1 Desired materials inventory, August 31 290 Bortels () 600 240 360 There was negligible work in process inventory assumed for either the beginning or end of the month; thus, none was assumed. In addition, there was no change in the cost per unit or estimated units per case operating data from January Instructions 8. Prepare the August factory overhead cost budget. 9. Prepare the August budgeted income statement, including selling expenses. Requirement #8: Develop the factory overhead cost budget Total Quivers Inc. Factory Overhead Cost Budget For the Month Ended August 31 Fixed Variable Utilities Facility Lease Equipment Depreciation Supplies Total factory overhead cost Cost Cases Cost Total Fixed Cost from Question 3 Variable Utility Cost Requirement #9: Create the budgeted income statement Quivers Inc. Budgeted Income Statement For the Month Ended August 31 Sales Finished goods inventory, August 1 Direct materials: Direct materials inventory, August 1 Direct materials purchases (from Question 6] Cost of direct materials available for use Less direct materials inventory, August 31 Cost of direct materials placed in production Direct labor (from Question 7] Factory overhead [from Question 8] Cost of goods manufactured Cost of finished goods available for sale Less finished goods inventory, August 31 Cost of goods sold Gross profit Selling expenses Income from operations Units x Price = Total Sales Selling Expenses Cream Base (os) Oils (os) Bottels (oz) Total Direct materials inventory, August Direct materials inventory, August 31 Rate Cream Base (oz.) Oils (oz.) Bottels (oz.) Cost per Case per Unit DIRECT MATERIALS Cost Units Behavior Variable 100 oz. Variable 30 oz. Variable 12 bottles Direct Materials Cost per Case $ 2.00 9.00 Crearn base Natural oils Bottle (8-oz) $0.02 0.30 0.50 6.00 $17.00 DIRECTLABOR Time Labor Rate per Case per Hour Department Mixing Cost Behavior Variable Variable 20 min. 5 25 min. $18.00 14.40 Direct Labor Cost per Case $6.00 1.20 $7.20 Filling FACTORY OVERHEAD Cost Behavior Total Cost Utilities Mixed $ 600 Facility lease Fixed 14,000 Equipment depreciation Fixed 4,300 Supplies Fixed 660 $19,560
