Sales, production, direct materials purchases, and direct labor cost budgets

The budget director of Gourmet Grill Company requests estimates of sales, production, and other operating data from the various administrative units every month. Selected information concerning sales and production for July is summarized as follows:

a$.$ Estimated sales for July by sales territory:

Maine:

Backyard Chef $310$ units at $$700$ per unit

Master Chef $150$ units at $$1,200$ per unit

Vermont:

Backyard Chef $240$ units at $$750$ per unit

Master Chef $110$ units at $$1,300$ per unit

New Hampshire:

Backyard Chef $360$ units at $$750$ per unit

Master Chef $180$ units at $$1,400$ per unit

b$.$ Estimated inventories at July $1$:

Direct materials:

Grates $290$ units

Stainless steel $1,500$ lbs$.$

Burner subassemblies $170$ units

Shelves $340$ units

Finished products:

Backyard Chef $30$ units

Master Chef $32$ units

c$.$ Desired inventories at July $31$:

Direct materials:

Grates $340$ units

Stainless steel $1,800$ lbs$.$

Burner subassemblies $155$ units

Shelves $315$ units

Finished products:

Backyard Chef $40$ units

Master Chef $22$ units

d$.$ Direct materials used in production:

In manufacture of Backyard Chef:

Grates $3$ units per unit of product

Stainless steel $24$ lbs$.$ per unit of product

Burner subassemblies $2$ units per unit of product

Shelves $4$ units per unit of product

In manufacture of Master Chef:

Grates $6$ units per unit of product

Stainless steel $42$ lbs$.$ per unit of product

Burner subassemblies $4$ units per unit of product

Shelves $5$ units per unit of product

e$.$ Anticipated purchase price for direct materials:

Grates $$15$ per unit

Stainless steel $$6$ per lb$.$

Burner subassemblies $$110$ per unit

Shelves $$10$ per unit

f$.$ Direct labor requirements:

Backyard Chef:

Stamping Department $0\mathrm{.}50$ hr$.$ at $$17$ per hr$.$

Forming Department $0\mathrm{.}60$ hr$.$ at $$15$ per hr$.$

Assembly Department $1\mathrm{.}00$ hr$.$ at $$14$ per hr$.$

Master Chef:

Stamping Department $0\mathrm{.}60$ hr$.$ at $$17$ per hr$.$

Forming Department $0\mathrm{.}80$ hr$.$ at $$15$ per hr$.$

Assembly Department $1\mathrm{.}50$ hrs$.$ at $$14$ per hr$.$

Required:

$1.$ Prepare a sales budget for July.

Gourmet Grill Company

Sales Budget

For the Month Ending July $31$

Product and Area Unit Sales

Volume Unit Selling

Price Total Sales

Backyard Chef:

Maine fill in the blank $1$

$fill in the blank $2$

$fill in the blank $3$

Vermont fill in the blank $4$

fill in the blank $5$

fill in the blank $6$

New Hampshire fill in the blank $7$

fill in the blank $8$

fill in the blank $9$

Total fill in the blank $10$

$fill in the blank $11$

Master Chef:

Maine fill in the blank $12$

$fill in the blank $13$

$fill in the blank $14$

Vermont fill in the blank $15$

fill in the blank $16$

fill in the blank $17$

New Hampshire fill in the blank $18$

fill in the blank $19$

fill in the blank $20$

Total fill in the blank $21$

$fill in the blank $22$

Total revenue from sales $fill in the blank $23$

$2.$ Prepare a production budget for July. For those boxes in which you must enter subtracted or negative numbers use a minus sign.

Gourmet Grill Company

Production Budget

For the Month Ending July $31$

Line Item Description Backyard

Chef Master

Chef

fill in the blank $25$

fill in the blank $26$

fill in the blank $28$

fill in the blank $29$

fill in the blank $31$

fill in the blank $32$

fill in the blank $34$

fill in the blank $35$

fill in the blank $37$

fill in the blank $38$

$3.$ Prepare a direct materials purchases budget for July. For those boxes in which you must enter subtracted or negative numbers use a minus sign.

Gourmet Grill Company

Direct Materials Purchases Budget

For the Month Ending July $31$

Line Item Description Grates

$($units$)$ Stainless Steel

$($lbs$.)$ Burner Sub$-$

assemblies

$($units$)$ Shelves

$($units$)$ Total

Required units for production:

Backyard Chef fill in the blank $39$

fill in the blank $40$

fill in the blank $41$

fill in the blank $42$

Master Chef fill in the blank $43$

fill in the blank $44$

fill in the blank $45$

fill in the blank $46$

Desired inventory, July $31$ fill in the blank $47$

fill in the blank $48$

fill in the blank $49$

fill in the blank $50$

Total fill in the blank $51$

fill in the blank $52$

fill in the blank $53$

fill in the blank $54$

Estimated inventory, July $1$ fill in the blank $55$

fill in the blank $56$

fill in the blank $57$

fill in the blank $58$

Total units to be purchased fill in the blank $59$

fill in the blank $60$

fill in the blank $61$

fill in the blank $62$

Unit price $fill in the blank $63$

$fill in the blank $64$

$fill in the blank $65$

$fill in the blank $66$

Total direct materials to be purchased $fill in the blank $67$

$fill in the blank $68$

$fill in the blank $69$

$fill in the blank $70$

$fill in the blank $71$

$4.$ Prepare a direct labor cost budget for July.

Gourmet Grill Company

Direct Labor Cost Budget

For the Month Ending July $31$

Line Item Description Stamping

Departmen