Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Required information Ramos Co, provides the following sales forecast and production budget for the next four months: April May Sales (units) July 580 530 Budgeted

image text in transcribed
image text in transcribed
image text in transcribed
Required information Ramos Co, provides the following sales forecast and production budget for the next four months: April May Sales (units) July 580 530 Budgeted production (units) 442 570 544 540 June 500 600 The company plans for finished goods inventory of 120 units at the end of June. In addition, each finished unit requires 5 pounds of direct materials and the company wants to end each month with direct materials inventory equal to 30% of next month's production needs. Beginning direct materials inventory for April was 663 pounds. Direct materials cost $2 per pound. Each finished unit requires 0.50 hours of direct labor at the rate of $16 per hour. The company budgets variable overhead at the rate of $20 per direct labor hour and budgets fixed overhead of $8,000 per month 1. Prepare a direct labor budget for April, May, and June 2. Prepare a factory overhead budget for April, May, and June. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare a direct labor budget for April, May, and June, (Enter your direct labor hours (hrs.) per unit in two decimal places.) RAMOS CO. Direct Labor Budget For April, May, and Juno April May 442 570 June 544 units Budgeted production (units) Direct labor hours per unit (hrs.) Total labor hours needed Direct labor rate (per hour) Budgeted direct labor cost Required 2 > 1. Prepare a direct labor budget for April, May, and June. 2. Prepare a factory overhead budget for April, May, and June. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare a factory overhead budget for April, May, and June. May June RAMOS CO. Factory Overhead Budget For April, May, and June April Total labor hours needed Variable factory overhead rate per direct labor hr Budgeted variable overhead Budgeted fixed overhead Total budgeted factory overhead

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Practical Pension Scheme Accounting

Authors: Shona Harvie, Joanne Scriven, Phil Spary

2nd Edition

1526508974, 9781526508973

More Books

Students also viewed these Accounting questions