Please help with 6-34

6-33 Comprehensive problem with ABC costing. Pet Luggage Company makes two pet carriers, the Cat-allac and the Dog-eriffic. They are both made of plastic with metal doors, but the Cat-allac is smaller. Information for the two products for the month of April is given in the following tables: Input Prices Direct materials Plastic S 4 per pound Metal S 3 per pound Direct manufacturing labor $14 per direct manufacturing labor-hour Input Quantities per Unit of Output Cat-allac Dog-eriffic Direct materials Plastic 3 pounds 5 pounds Metal 0.5 pounds 1 pound Direct manufacturing labor-hours (DMLH) 3 hours 5 hours Machine-hours (MH) 13 MH 20 MH Inventory Information, Direct Materials Plastic Metal Beginning inventory 230 pounds 70 pounds Target ending inventory 400 pounds 65 pounds Cost of beginning inventory $874 $224 Pet Luggage accounts for direct materials using a FIFO cost flow assumption Sales and Inventory Information, Finished Goods Cat-allac Dog-eriffic Expected sales in units 580 240 Selling price $ 190 $ 275 Target ending inventory in units 45 25 Beginning inventory in units 25 40 Beginning inventory in dollars $2,500 $7,440 Pet Luggage uses a FIFO cost flow assumption for finished goods inventory. Pet Luggage uses an activity-based costing system and classifies overhead into three activity pools: Setup, Processing, and Inspection. Activity rates for these activities are $130 per setup-hour, $5 per machine-hour, and $20 per inspection-hour, respectively. Other information follows: Cost Driver Information Number of units per batch Setup time per batch Inspection time per batch Cat-allac 25 1.25 hours 0.5 hour Dog-eriffic 13 2.00 hours 0.6 hour Required Nonmanufacturing fixed costs for March equal $32,000, of which half are salaries. Salaries are expected to increase 5% in April. The only variable nonmanufacturing cost is sales commission, equal to 1% of sales revenue. Prepare the following for April: 1. Revenues budget 2. Production budget in units 3. Direct material usage budget and direct material purchases budget 4. Direct manufacturing labor cost budget 5. Manufacturing overhead cost budgets for each of the three activities 6. Budgeted unit cost of ending finished goods inventory and ending inventories budget 7. Cost of goods sold budget 8. Nonmanufacturing costs budget 9. Budgeted income statement (ignore income taxes) 6-34 Cash budget (continuation of 6-33). Refer to the information in Problem 6-33. Assume the following: Pet Luggage (PL) does not make any sales on credit. PL sells only to the public, and accepts cash and credit cards; 90% of its sales are to customers using credit cards, for which PL gets the cash right away less a 2% transaction fee. Purchases of materials are on account. PL pays for half the purchases in the period of the purchase, and the other half in the following period. At the end of March, PLowes suppliers $8,400. PL plans to replace a machine in April at a net cash cost of $13,800. Labor, other manufacturing costs, and nonmanufacturing costs are paid in cash in the month incurred except of course, depreciation, which is not a cash flow. $22,500 of the manufacturing cost and $12,500 of the nonmanufacturing cost for April is depreciation. PL currently has a $2,600 loan at an annual interest rate of 24%. The interest is paid at the end of each month. If PL has more than $10,000 cash at the end of April it will pay back the loan. PL owes $5,400 in income taxes that need to be remitted in April.PL has cash of $5,200 on hand at the end of March. Prepare a cash budget for April for Pet Luggage. Required 6 345min) (Continuation et 6-33) Casti bodget (Append) Jasmin) Cittade April 30.00 C Dance, Apni 1,20 Al recipes Cash sales Credit card slot (5155.000 * 90% 97% Tal cash available for needs.) Det cash disbursecos Duet materials (5 500 517.500 5090) Di macario labor Manufacturing av best Normanfacturing sales Sales commissions SO Havehetsrepreciation) ) Other maradanufacturing fixed costs - Derpen) 313 Machinery purchase Locoraxes Tocal deborenent Tandon Repayment of loan Interest at 12% (52.000 12 Totten off Doc Apr 30 (1) 0) 52.00