Requirements - X More Into 1. Prepare a schedule of cash collections for January, February, and March, and for the quarter in total. 2. Prepare a production budget. (Hint: Unit sales - Sales in dollars / Selling price per unit) 3. Prepare a direct materials budget. 4. Prepare a cash payrnents budget for the direct material purchases from Requirement 3. Use the accounts payable balance al December 31 of prior year for the prior month payment in January 5. Prepare a cash payments budget for direct labor. 6. Prepare a cash payments budget for manufacturing overhead costs. 7. Prepare a cash payments budget for operating expenses. Prepare a combined cash budget 9. Calculate the budgeted manufacturing ocst per unit (assume that fixed manufacturing overhead is budgeted to be S0.70 per unit for the year). 10. Prepare a budgeted income statement for the quarter ending March 31. (Hint: Cast of goods sold = Budgeted cost of manufacturing one unit x Number of units sold.) a. Actual sales in December were $70,000. Selling price per unit is projected to remain stable at 39 per unit throughout the budget period. Sales for the first five months of the upcoming year are budgeted to be as follows: January ......... S 80,100 February ..... S 89,100 March S 82,800 April. S 85,500 May b.Sales are 30% cash and 70% credit. All credit sales are collected in the month following the sale. c. Dickson Manufacturing has a policy that states that each month's ending Inventory of finished goods should be 10% of the following month's sales in units). d. Of each month's direct material purchases, 20% are paid for in the month of purchase, while the remainder is paid for in the month following purchase. Two pounds of direct material is needed per unit at $1.50 per pound. Ending inventory of direct materials should be 20% of next month's production needs. e. Most of the labor at the manufacturing facility is indirect, but there is some direct labor incurred. The direct labor hours per unitis 0.03. The direct labor rate per hour is $13 per hour. All direct labor is paid for in the month in which the work is performed. The direct labor total cost for each of the upcoming three months is as follows: ....S 77,400 8. Print Done Units to i Data Table Multiply Quantity Plus: Dell Current Assets as of December 31 (prior year): Total que January .........S 3,510 February .......5 3,834 March ....S S 3,600 f. Monthly manufacturing overhead costs are $6,500 fox lectory rent, $2.900 for other fixed manufacturing expenses, and $1,40 per unit for variatile manufacturing overhead. No depreciation is included in these figures. All excenses are paid in the month in which they are incurred. g.Computer equipment for the administrative offices will be purchased in the upcoming quarter. In January, Dickson Manufacturing will purchase equipment for $5,800 (cash), while February's cash expenditure will be $11,600 and March's cash expenditure will be $15,800. h Operating expenses are budgeted to be $1.20 per unit sold plus fixed operating expenses of $1,400 per month. All operating expenses are paid in the month in which they are incurred. No depreciation is included in these figures. i. Depreciation on the building and equipment for the general and administrative offices is budgeted to be $4,700 for the entire Liudad Cash S 4,450 Accounts receivable, net S 52 DDD Less: He Quantity S 15,600 Multiply S 120,500 Inventory Properly, plant, and equipment, not Accounts payuble Capital sock Retained earnings S Total cos 43,000 S 123.500 Print Done Enter any S 22,800 10 per Clear All Check Answer Print Donc Windons Ink Workspace Dickson Manufacturing is preparing its master budget for the first quarter of the upcoming year. The following data pertain to Dickson Manufacturing's operations: Click the icon to view the data) Click the icon to view additional data.) you 35,900 990 9,200 950 28.000 950 920 Read the requirements Unit sales Plus: Desired ending inventory Total needed Leas: Beginning inventory Units to produces 9,690 10,020 10,150 26.950 890 990 920 890 9,000 9.830 9.230 28.060 Requirement 3. Prepare a direct materials budget. (Round your answers to the nearest whole dollar.) Dickson Manufacturing Direct Materials Budget For the Quarter Ended March 31 Month January February March Quarter Units to be produced Multiply by: Quantity (pounds of DM nexted per unit Quantity (pounds) noxkx for picxluction Plus: Desired ending invertory of DM Total quantity (pounds) needed Less: Beginning inventory of DM Quantity (pounds) to purchase Multiply by: Cost per pound Total xxl of DM purchases Enter any number in the edit fields and then click Check Answer ? Requirements - X More Into 1. Prepare a schedule of cash collections for January, February, and March, and for the quarter in total. 2. Prepare a production budget. (Hint: Unit sales - Sales in dollars / Selling price per unit) 3. Prepare a direct materials budget. 4. Prepare a cash payrnents budget for the direct material purchases from Requirement 3. Use the accounts payable balance al December 31 of prior year for the prior month payment in January 5. Prepare a cash payments budget for direct labor. 6. Prepare a cash payments budget for manufacturing overhead costs. 7. Prepare a cash payments budget for operating expenses. Prepare a combined cash budget 9. Calculate the budgeted manufacturing ocst per unit (assume that fixed manufacturing overhead is budgeted to be S0.70 per unit for the year). 10. Prepare a budgeted income statement for the quarter ending March 31. (Hint: Cast of goods sold = Budgeted cost of manufacturing one unit x Number of units sold.) a. Actual sales in December were $70,000. Selling price per unit is projected to remain stable at 39 per unit throughout the budget period. Sales for the first five months of the upcoming year are budgeted to be as follows: January ......... S 80,100 February ..... S 89,100 March S 82,800 April. S 85,500 May b.Sales are 30% cash and 70% credit. All credit sales are collected in the month following the sale. c. Dickson Manufacturing has a policy that states that each month's ending Inventory of finished goods should be 10% of the following month's sales in units). d. Of each month's direct material purchases, 20% are paid for in the month of purchase, while the remainder is paid for in the month following purchase. Two pounds of direct material is needed per unit at $1.50 per pound. Ending inventory of direct materials should be 20% of next month's production needs. e. Most of the labor at the manufacturing facility is indirect, but there is some direct labor incurred. The direct labor hours per unitis 0.03. The direct labor rate per hour is $13 per hour. All direct labor is paid for in the month in which the work is performed. The direct labor total cost for each of the upcoming three months is as follows: ....S 77,400 8. Print Done Units to i Data Table Multiply Quantity Plus: Dell Current Assets as of December 31 (prior year): Total que January .........S 3,510 February .......5 3,834 March ....S S 3,600 f. Monthly manufacturing overhead costs are $6,500 fox lectory rent, $2.900 for other fixed manufacturing expenses, and $1,40 per unit for variatile manufacturing overhead. No depreciation is included in these figures. All excenses are paid in the month in which they are incurred. g.Computer equipment for the administrative offices will be purchased in the upcoming quarter. In January, Dickson Manufacturing will purchase equipment for $5,800 (cash), while February's cash expenditure will be $11,600 and March's cash expenditure will be $15,800. h Operating expenses are budgeted to be $1.20 per unit sold plus fixed operating expenses of $1,400 per month. All operating expenses are paid in the month in which they are incurred. No depreciation is included in these figures. i. Depreciation on the building and equipment for the general and administrative offices is budgeted to be $4,700 for the entire Liudad Cash S 4,450 Accounts receivable, net S 52 DDD Less: He Quantity S 15,600 Multiply S 120,500 Inventory Properly, plant, and equipment, not Accounts payuble Capital sock Retained earnings S Total cos 43,000 S 123.500 Print Done Enter any S 22,800 10 per Clear All Check Answer Print Donc Windons Ink Workspace Dickson Manufacturing is preparing its master budget for the first quarter of the upcoming year. The following data pertain to Dickson Manufacturing's operations: Click the icon to view the data) Click the icon to view additional data.) you 35,900 990 9,200 950 28.000 950 920 Read the requirements Unit sales Plus: Desired ending inventory Total needed Leas: Beginning inventory Units to produces 9,690 10,020 10,150 26.950 890 990 920 890 9,000 9.830 9.230 28.060 Requirement 3. Prepare a direct materials budget. (Round your answers to the nearest whole dollar.) Dickson Manufacturing Direct Materials Budget For the Quarter Ended March 31 Month January February March Quarter Units to be produced Multiply by: Quantity (pounds of DM nexted per unit Quantity (pounds) noxkx for picxluction Plus: Desired ending invertory of DM Total quantity (pounds) needed Less: Beginning inventory of DM Quantity (pounds) to purchase Multiply by: Cost per pound Total xxl of DM purchases Enter any number in the edit fields and then click Check