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Q. see below screenshot and solve the problem in screenshot 3. screenshot 1 Current Attempt in Progress Bramble Industries had sales in 2024 of $5,725,600
Q. see below screenshot and solve the problem in screenshot 3.
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Current Attempt in Progress Bramble Industries had sales in 2024 of $5,725,600 and gross profit of $926,200. Management is considering two alternative budget plans to increase its gross profit in 2025. Plan A would increase the unit selling price from $8.00 to $8.40. Sales volume would decrease by 105,250 units from its 2024 level. Plan B would decrease the unit selling price by $0.5. The marketing department expects that the sales volume would increase by 109,460 units. At the end of 2024, Bramble has 33,680 units of inventory on hand. If Plan A is accepted, the 2025 ending inventory should be 29,470 units. If Plan B is accepted, the ending inventory should be equal to 50,520 units. Each unit produced will cost $1.50 in direct labor, $1.30 in direct materials, and $1.20 in variable overhead. The fixed overhead for 2025 should be $1,595,590. (a) Your answer is correct. Prepare a sales budget for 2025 under each plan. (Round Unit selling price answers to 2 decimal places, e.g. 52.70.) BRAMBLE INDUSTRIES Sales Budget For the Year Ending December 31, 2025 Plan A Plan B Expected Unit Sales v 610450 825160 Unit Selling Price 8.40 7.50 Total Sales 5127780 $ 6188700(b) Your answer is correct. Prepare a production budget for 2025 under each plan. BRAMBLE INDUSTRIES Production Budget For the Year Ending December 31, 2025 v Plan A Plan B Expected Unit Sales 610450 825160 Add Desired Ending Finished Goods Units 29470 50520 Total Required Units 639920 875680 Less Beginning Finished Goods Units 33680 i 33680 Required Production Units 506240 842000 eTextbook and Media Assistance Used Attempts: 2 of 2 used (c1) Your answer is correct. Compute the production cost per unit under each plan. (Round answers to 2 decimal places, e.g. 1.25.) Plan A Plan B Production cost per unit $ 6.63 $ 5.90(d) Your answer is partially correct. Compute the gross profit under each plan. (Round answers to O decimal places, e.g. 125.) Plan A Plan B Gross Profit Which plan should be accepted? Plan B should be acceptedStep by Step Solution
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