please help and specify what youre helping with/ what goes where for what you decide. please and thank you.

However, the company also experienced some increased costs. Use this information to complete the CH24 Budet Variances tab; the green section. 9 10 11 12 13 14 15 Electrical Parts Direct Materials The purchase price, net of discounts increase by $2.50 per set. There was also an increase in freight of by $0.25 per set. Wheel Sets Direct Materials: The company was able to secure the same wheel sets from a new supplier at a cost of $37/set. However, freight cost increased by $0.50 per wheel set. Metal Parts Direct Materials: The company was also able to reduce the amount of material used for each bike by 3 pounds. The acual cost of the metal parts was $0.52 per pound. 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 Canvas Fabric Direct Materials: The company was also able to reduce the amount of material used for each bike by one-half a yard. The acual cost of the canvas fabric was $4.95 per yard. Direct labor: Employees were tasked with increasing equipment assembly and decreasing labor hours. They were successful in 2021 and brought hours down by 5/hours/unit! The company provided a $1/hour raise! This also lead to an increase of $0.25/hour in payroll taxes. Manufacturing overhead: There were no changes in manufacturing overhead, no variance needs to be computed Using this information, computer the budget variances incurred during 2021. Using the information provided on the BLUE TABS, calculate the following variances. Include a description of the variables for each computation In order to receive credit --> show your calculations!! Hint Start by calculating the standard DM cost of one unit, actual DM cost of one unit, standard labor cost for one unit and actual labor cost for one unit Check the production budget for the planned number of bikes. The actual number of bikes produced is provided in the Additional Info - Actual Costs tab Expected / Standard Unit Cost Total Actual Cost Unit Total 0 1 2 Product Costs 13 Electrical sets direct materials: 14 Wheels direct materials - set of 4 15 Metal parts direct materials: 16 Canvas fabric direct materials: 17 Total DM cost for one bike 18 Direct labor hours 19 20 21 Total Materials Variance 22 23 24 25 26 27 Material Price Variance 28 29 30 31 32 33 Material Quantity Variance 22 23 24 25 26 27 Material Price Variance 28 29 30 31 32 33 Material Quantity Variance 34 35 36 37 38 39 Total Labor Variance 40 41 42 43 44 45 Labor Price Variance 46 47 48 49 50 51 Labor Quantity Variance 52 52 1 Surrey Bikes, Inc. manufactures double bench bikes for resorts and other vacation properties. 2 Management is preparing the budget 2021 and has asked for the accountants help. Sales in 2020 were 500 units. They are bringing on a new customer and management is expecting a 20% increase in 2021. They will increase 4 the selling price to $3,300 this year to account for anticipated rising costs. 3 5 Surrey Bikes, Inc. Sales Budget For the Year Ended December 31, 2021 8 9 10 Expected sales units 11 Unit selling price 12 Total sales 13 (20*500*500 given in problem 3,300"600 600 $ 3,300 $ 1,980,000 74 At the end of 2020, there were no bikes left in inventory to sell in 2021. Management would like to start 2022 with inventory on hand. They would like to budget to end 2021 with 30 completed and finished bikes. 15 16 17 18 19 20 Surrey Bikes, Inc. Production Budget For the Year Ended December 31, 2021 21 Expected sales units (20-500)*500- 22 Add: Desired ending finished goods units (ending balance 2021) Biven 23 Total required units 24 Less: Beginning finished goods units (ending balance 2020) Even 2s Required production units 600 30 26 Management expects to end 2020 with some direct materials. They want to make sure that at the end of 2021, they have enough direct 26 materials on hand to start production right away in 2022. Expected Per Unit 29 Ending Ending Balance 2020 2021 Cost Balance 2021 30 Electrical sets direct materials: 1 set $ 100.00 50 150 31 Wheels direct materials - set of 4 1 set $ 40.00 25 150 32 Metal parts direct materials: 200 pounds $ 0.50 1,000 5,000 33 Canvas fabric direct materials: 3 yards $ 10.00 20 200 34 Management expects to end 2020 with some direct materials. They want to make sure that at the end of 2021, they have enough direct 28 materials on hand to start production right away in 2022. Expected Per Unit Ending Ending Balance 2020 29 2021 Cost Balance 2021 | 30 Electrical sets direct materials: 1 set $ 100,00 50 150 31 Wheels direct materials - set of 4 1 set $ 40.00 25 150 32 Metal parts direct materials: 200 pounds $ 0.50 1,000 5,000 13 Canvas fabric direct materials: 3 yards $ 10.00 20 200 34 35 Surrey Bikes, Inc. 36 Direct Materials Budget 37 For the Year Ended December 31, 2021 38 39 Required production units additional info 680 40 Electrical sets per unit produced: eventable 1 41 Total needed for production additional info 680 42 Add: Desired ending direct materials (ending balance 2021) Even table 150 4 Total materials required 830 44 Less: Beginning direct materials (ending balance 2020) given table 50 A5 Direct materials purchases 780 46 Cost per set $ 97.75 47 Total cost of electrical sets direct materials purchases 780-97.75 $ 76,245 49 Required production units Additional info 680 so Wheelsets per unit produced: material sets per unit produced: Given Intable 1 51 Total wheel sets needed for production Additional info 680 s Add Desired ending direct materials (ending balance 2021) 150 51 Total materials required 830 Less: Beginning direct materials (ending balance 2020) 25 Direct materials purchases in sets 805 56 Cost per set 01750) - (Also Given $ 37.50 s Total cost of wheelsets direct materials purchases $ 30.188 Required production units Additional info 680 co Metal parts direct materials pounds per unit produced: 197 61 Total pounds needed for production 133,960 62 Add: Desired ending direct materials in pounds (ending balance 2021) 5,000 63 Total materials required 128,960 6 Less: Beginning direct materials in pounds (ending balance 2020) 1 40 0 197 Given 133,960 5,000 Given Given 128,960-1.000 Additional info 127,960*6.52 1,000 127,960 0.52 66,539 $ $ Less: Beginning direct materials in pounds (ending balance 2020) 65 Direct materials purchases 66 Cost per pound 67 Total cost of metal parts direct materials purchases Required production units 70 Canvas direct material yards per unit produced: Total yards needed for production 12 Add: Desired ending direct materials in yards (ending balance 2021) 73 Total materials required ? Less: Beginning direct materials in pounds (ending balance 2020) 75 Direct materials purchases 76 Cost per yard 7 Total cost of canvas direct materials purchases 79 Total cost of All direct materials purchases Additional info Given in Tobile 6803/2 Given in Table 680 3 1,020 200 1,220,222 20 1,200 4.95 5,940 Given in Taite Additional info 1.20094.95 $ $ 78 76,245+30,188+66,53945,940 $ 178,912 50 Management expects that it will take 50 hours of direct labor to manufacture each bike. Direct labor is billed at $20/hour. 82 13 BH Surrey Bikes, Inc. ins Direct Labor Budget 36 For the Year Ended December 31, 2021 87 Units to be produced 19 Direct labor time (hours) per unit 50 Total required direct labor hours 91 Direct labor cost per hour 92 Total direct labor cost 193 Overhead for the company only exists of machine usage. It will take 100 machine hours per bike and the cost is $8/hour. 94 95 16 Surrey Bikes, Inc. 97 Manufacturing Overhead Budget 98 For the Year Ended December 31, 2021 99 100 Units to be produced 101 Machine hours per unit dant Overhead for the company only exists of machine usage. It will take 100 machine hours per bike and the cost is $8/hour. 94 95 96 Surrey Bikes, Inc. 9Y Manufacturing Overhead Budget 90 For the Year Ended December 31, 2021 99 100 Units to be produced 101 Machine hours per unit 102 Total required machine hours 103 Machine cost per hour 104 Total manufacturing overhead 105 10 Management also anticipates the following fixed costs, some anticipated changes from last year: 107 100 Building and Equipment Depreciation $45,000 109 Company Insurance $23,000 110 Company Advertising $117200 Selling and Administrative Salaries and Benefits $300,000 112 113 114 Surrey Bikes, Inc. 115 Selling and Administrative Expense Budget 116 For the Year Ended December 31, 2021 117 116 Fixed expenses 110 Building and Equipment Depreciation 120 Company Insurance 121 Company Advertising 122 Selling and administrative salaries and benefits 12 Total selling and administrative expenses 124 Management had to borrow some money from the bank to start the business five years ago. As a result, they still have some interest expense. It is $10,000 per year. Management anticipates a 20% tax rate for 2021 127 120 Surrey Bikes, Inc. 120 Budget Income Statement 130 For the Year Ended December 31, 2021 124 125 Management had to borrow some money from the bank to start the business five years ago. As a result, they still have some interest 126 expense. It is $10,000 per year. Management anticipates a 20% tax rate for 2021. 127 128 Surrey Bikes, Inc. 129 Budget Income Statement 130 For the Year Ended December 31, 2021 1:31 132 Sales 133 *Cost of goods sold 134 Gross profit 135 Selling and administrative expenses 136 Income from operations 137 Interest expense 138 Income before income taxes 139 Income tax expense 140 Net Income 141 142 Supplemental Schedule - COGS Cost Budget per Unit 16 Cost Element Quantity Unit Cost Total 14 Electrical sets direct materials: set 145 Wheels - set of 4 direct materials set 146 Metal parts direct materials: pounds 147 Canvas direct materials: yards 148 Direct labor hour 149 Manufacturing overhead - machine hours hour 150 Total COGS Budget per Unit 151 152