Please complete work in excel and show ALL work if you are able to assist. If you cannot do in excel and show work, please do NOT try to assist.

1.

Kroger Corporation had the following budget information related to the unit sales:

2015 Units

July 25,000

August 53,000

September 21,000

October 34,000

Of the units budgeted, the Electronics Division sells 55% at a price of $30

per unit and the remainder are sold by the Toy Division at a price

of $20 per unit.

INSTRUCTIONS

Prepare separate sales budgets for each division and for the company

in total for the third quarter of 2015.

2.

The following budget information relates to the Staples Company unit sales:

2015 Units

April 27,000

May 32,000

June 17,000

July 21,000

August 16,000

The finished goods units on hand on March 31, 2015, was 2,000

units. Each unit requires 3 pounds of raw materials that are

estimated to cost an average of $6 per pound. It is the company's

policy to maintain a finished goods inventory at the end of each

month equal to 15% of next month's anticipated sales. They also have

a policy of maintaining a raw materials inventory at the end of each

month equal to 25% of the pounds needed for the following month's

production. There were 10,000 pounds of raw materials on hand at

March 31, 2015.

INSTRUCTIONS

Prepare the following budget reports for the second quarter of 2015,

a) a production budget

(b) a direct materials budget.

3.

The following budget information relates to the Frontier Company. For the

second quarter of 2015, the following data are developed:

1. Sales: 30,000 units; unit selling price: $25

2. Variable costs per dollar of sales:

Sales commissions 6%

Delivery expense 2%

Advertising 8%

3. Fixed costs per quarter:

Sales salaries $40,000

Office salaries 26,000

Depreciation 7,000

Insurance 2,000

Utilities 1,000

INSTRUCTIONS

Prepare a selling and administrative expense budget for the second

quarter of 2015.

4.

Marshall Department Stores has budgeted sales revenues as follows:

Credit sales July $250,000

August 190,000

September 150,000

October 140,000

In the past, 75% of the credit sales were collected in the month of sale, 20% were collected in the first month following the sale and 5% in the second month following the sale. Purchases of inventory are all on credit and 28% is paid in the month of purchase and 72% in the month following purchase. Budgeted inventory purchases are:

July $200,000

August 100,000

September 125,000

October 150,000

Other cash disbursements budgeted: (a) selling and administrative

expenses of $20,000 each month, (b) dividends of $50,000 will be

paid in September, and (c) purchase of a van in October for $45,000

cash.

The company wishes to maintain a minimum cash balance of $50,000 at

the end of each month. Borrowed money is repaid in months when there is an

excess cash balance. The beginning cash balance on September 1 was $50,000.

If money is borrowed, ignore interest

INSTRUCTIONS

(a) Prepare separate schedules for (1) expected collections from customers

and (2)expected payments for purchases of inventory. SHOW ALL

CALCULATIONS.

(b) Prepare a cash budget for the months of September and October.

5.

The following budget information relates to Mercedes Benz Corporation.

Variable manufacturing overhead costs per machine hour are as follows:

Indirect Labor $7.25

Indirect Materials 3.50

Maintenance .95

Utilities .52

Fixed overhead costs per month are:

Supervision $800

Insurance 350

Property Taxes 400

Depreciation 900

The normal operating range is 6,000 to 10,000 machine hours per month.

INSTRUCTIONS

Mercedes-Benz would like a flexible manufacturing overhead budget prepared

based on machine hours. Given the range of activity above, prepare the

budget using increments of 2,000 machine hours.

6.

The Olive Garden Division, a part of the Darden Corporation, reported the following data for the first quarter of 2015:

Budget Actual

Sales Revenue $ 850,000 $ 900,000

Cost of Goods Sold

Variable 300,000 290,000

Controllable Fixed 100,000 120,000

Selling and Administrative

Variable 200,000 210,000

Controllable Fixed 150,000 170,000

Other fixed costs 50,000 40,000

Average operating assets $2,200,000 $2,400,000

INSTRUCTIONS

Assume that Olive Garden is an investment center. Prepare a responsibility performance report for the manager of the IHOP division.