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Required in page 3 down, please help me Version 3: HMN, Inc is preparing budgets for the quarter ending June 30. Information needed for sales
Required in page 3 down, please help me
Version 3: HMN, Inc is preparing budgets for the quarter ending June 30. Information needed for sales budget (Quarter): - The selling price is KD 10 per unit. - Budgeted sales for the quarter are 200000 units. - Budgeted sales for the following quarter are 240000 units. Information needed for cash collection budget (Quarter): - Sales are collected as 60% in the quarter of sales and 40% in the following quarter. - Sales of the last quarter: KD 1600000 Information needed for Production budget (Quarter): - Beginning inventory is 30000 units. - The company wishes to keep an ending inventory of 20% of the following quarter's sales. Information needed for Direct Material budget (Quarter): - 2Kgs of direct material are required per unit of product. - Desired ending inventory of direct material for the quarter is 20000 units. - Beginning inventory of direct material is 10000 units. - Material cost is KD0.2 per Kg. Information needed for cash disbursements budget (Quarter): - Purchases of direct material are paid as 80% in the quarter of purchases and 20% in the following quarter. - Purchases of the last quarter: KD 90000 Information needed for Direct Labor budget (Quarter): - Each unit of product requires 0.1 hours of direct labor. - The labor wage rate is KD 3 per hour. Information needed for Manufacturing Overhead and Selling and administrati budgets (Quarter): - Indirect labor KD 10000. - Cost of commissions, advertising, and transportation per unit KD 0.1 - Indirect material KD 15000. - Office Rent KD 20000. - Factory Utilities KD 5000. - Factory Rent KD 12000. - Administrative salaries KD 10000 Information needed for Cost Of Goods Manufactured budget (Quarter): - No beginning and ending Work-In-Process inventory are present. Information needed for Cost Of Goods Sold (Quarter): - Beginning Finished-goods inventory is KD 20400. - Ending Finished-goods inventory KD 28750. Required: Prepare the following budgets for the quarter: 1. Sales Budget. (5 points) 2. Cash collections from sales Budget. (10 points) 3. Production Budget. (10 points) 4. Direct Material Budget. (10 points) 5. Cash disbursements for materials purchases Budget. (10 points) 6. Direct Labor Budget. (5 points) 7. Manufacturing Overhead Budget. (5 points) 8. Selling and Administrative Budget. (5 points) 9. Cost Of Goods Manufactured Budget. (5 points) 10. Cost Of Goods Sold Budget. (5 points) 11.Budgeted Income Statement. (5 points)Step by Step Solution
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