Required information The Chapter 8 Form worksheet is to be used to create your own worksheet version of the Review Problem in the text Requirement 2: The company has just hired a new marketing manager who insists that unit sales can be dramatically increased by dropping the selling price from $8 to $7 The marketing manager would like to use the following projections in the budget: Year 3 Quarter Data Budgeted unit wales Selling price per unit Year 2 Quarter 2 70.000 105,000 45,000 37 65,000 80.000 90,000 B D Chapter 8: Applying Excel E F 1 2 Year A B D E F Chapter 8: Applying Excel 2 3 Data Year 3 Quarter 4 1 2 3 4 Budgeted unit sales 45,000 70 000 105,000 65,000 80,000 5 6 7 8 9 $ $ 7 per unit 65,000 75% 10 25% 12 - Selling price per unit - Accounts receivable, beginning balance - Sales collected in the quarter sales are made - Sales collected in the quarter after sales are made - Desired ending finished goods inventory is - Finished goods inventory beginning Raw materials required to produce one unit - Desired ending inventory of raw materials is Raw materials inventory beginning Raw material costs Raw materials purchases are paid 13 14 115 16 17 30% of the budgeted unit sales of the next quarter 12,000 units 5 pounds 10% of the next quarter's production needs 23.000 pounds 0.80 per pound 60% in the quarter the purchases are made $ A B D E F 18: Applying Excel Year 3 Quarter 1 2 3 4 1 ed unt sales 45.000 70.000 105.000 2 80 000 65,000 80,000 5 S 3 prie per unit nts receivable, beginning balance collected in the quarter sales are made collected in the quarter after sales are made id ending inished goods inventory is ed goods inventory beginning laterals required to produce one unit id ending inventory of raw materials is waterials inventory beginning Taterial costs atenars purchases are paid 7 per unit 65.000 75% 25% 30% of the budgeted unit sales of the next quarter 12.000 units 5 pounds 10% of the next quarter's production needs 23.000 pounds 0 80 per pound 60% in the quarter the purchases are made s 5 10 - Raw material costs 17 - Raw materials purchases are paid 18 and 19 Accounts payable for raw materials, beginning balance U.30 per pound 50% in the quarter the purchases are made 40% in the quarter following purchase 81,500 $ a. What are the total expected cash collections for the year under this revised budget? Expected cash collections for the year Required information b. What is the total required production for the year under this revised budget? Total required production for the year c. What is the total cost of raw materials to be purchased for the year under this revised budget? Total cost of raw materials to be purchased for the year d. What are the total expected cash disbursements for raw materials for the year under this revised budget? Required information d. What are the total expected cash disbursements for raw materials for the year under this revised budget? To expected cash disbursements for raw materials for the year e. After seeing this revised budget, the production manager cautioned that due to the current production constraint, a complex milling machine, the plant can produce no more than 80,000 units in any one quarter is this a potential problem? Yes No