Answered step by step
Verified Expert Solution
Question
1 Approved Answer
please solve it according to managerial accounting. The Enterprise Company manufactures two products, known as Odds and Ends. Odds are produced in department 1 and
please solve it according to managerial accounting.
The Enterprise Company manufactures two products, known as Odds and Ends. Odds are produced in department 1 and Ends in department 2. The following information is available for 1992. Material A $16 per unit Odds ($) Ends ($) Variable overhead rates (PDLH) Material B $7.2 per unit 0.80 1.2 Indirect materials Direct Labor $12 per hours Indirect labor 1.2 1.2 Material A 9 units (Odds) 5 units (Ends) 0.40 0.60 Power (Variable) Material B 8 units (Odds) 0.40 0.20 10 (Ends) units Maintenance (Variable) Direct Labor 15hours (Odds) 10hours (Ends) Fixed overheads Depreciation 80,000 Budgeted sales 100,000 1600 units (Odds) 8500 units (Ends) Selling Price 40.000 100.000 $560 per unit $400 per unit Supervision (Odds) (Ends) units Power (Fixed) 2000 40.000 Ending inventory required Fig. 90 (Odds) 1870 units (Ends) 3196 45,600 Opening inventory required Fig. 85units (Odds) 170units (Ends) Maintenance (Fixed) 8000 units (A) 8500 units (B) Opening inventory 1700 units (A) 10200units (B) Closing Inventory Fixed Assets: Land $170,000, Building and Equipment $ 1292.000 ($255000 Depreciation included) Current Assets: Finished goods $99,076, Raw Material $189,200, A/R $289,000, Cash $34,000 Liabilities and Owner's Equity: A/P $248,800, Reserves $369,476 Represented by shareholder's interest: 1200,000 ordinary share $1 each. Non manufacturing overheads: Stationery (office) $ 3000, Stationery (Sales) $1000, office salary $30,000, Sales salary $ 72,000, commission $62,000. Car expenses (sales) $20,000. Advertisements $78.000 and Misc. (Office) 10,000 Details Quarter 1 Quarter 2 Quarter 3 Quarter 4 Payments: $ $ $ $ Materials 400,000 480.000 440.000 547984 Wages 400.000 440,000 480,000 646,188 Other Costs 120.000 100,000 72.016 13.642 1000 1200 1120 985 Receipts from Customers (000) You are required to prepare master budget for the year 1992 and following budget: 1) Sales Budget 2) Production budget 3) Direct material consumed budget 4) Direct material purchase budget 5) Direct labor budget 6) FOH budget 7) Selling and administration budget 8) Departmental budget 9) Cash Budget 10) Master BudgetStep by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started