Sharp Products is a manufacturing company. It uses absorption costing for budgeting, amount unit Budgeted sales: Q1 of 2019 20,000 cases 33,000 cases 26,500 cases 16,500 cases Unit selling price $21.50 dollars per unit All sales are on account (on credit) Collection pattern: Cash collected in the quarter of sale Cash collected in the quarter following sale 65% 35% Beginning FG inventory (in units) Desired ending FG inventoryext quarter's sales Desired ending FG inventory at year end 2,400 cases 30% 11,000 cases Beginning RM inventory (in units) Quantity of DM needed per unit DM cost per pound Desired ending RM inventoryext quarter's RM needs Desired ending RM inventory at year end 22,000 pounds 16.00 pounds $0.25 dollars 10% 24,000 pounds Cash payments to suppliers: paid in the quarter of purchase paid in the quarter following purchase 35% of the purchases 65% of the purchases DL hours per unit DL rate per hour 0.50 hours $15.00 dollars Manufacturing overhead Variable MOH Feed MOH $5.00 per DLH $24,000 per quarter NEMO Depreciation $17,000 per quarter Variable SA Fixed SA $0.30 percase Introduction Key Est Budgets Budgeted IS Ready Type here to search Clipboard Font $0.80 per case Variable SA Fixed SA Advertising Executive Salaries Research and Development Legal Fees Depreciation $5,000 per quarter $27,000 per quarter $8,000 per quarter $5,000 per quarter $4,000 per quarter Sharp Products has an agreement with a local bank that would supply any amount of loan it needs to maintain the minimum cash balance Interest is not compounded and paid at the end of each year. 4% per quarter Interest rate for bank loan Minimum cash balance Equipment purchases $5.000 3 ot 02 $5,000 for Q1 $4,000 for 02 So for Q3 $26,000 for 04 $5,000 per quarter 04 Cash dividends Sharp Products Co. Balance Sheet For the Year Ended Dec 31, 2019 Assets 592.000 130,000 5,500 Current assets: Cash Accounts receivable Raw materials inventory Finished goods inventory Total current assets Plant and equipment Land Buildings and equipment Accumulated depreciation Pant and equipment, net Total assets $245,800 300.000 750.000 (292.000 25.000 Lotties and Stockholders' Equity Current liabilities: Accounts payable raw materials) Stockholders' equity Common stock, no pa $112,755 Introduction Key Est Budgets Budgeted iS + Ready Type here to search Products has an agreement with a local bank that would supply any amount of loan it needs to maintain est is not compounded and paid at the end of each year. est rate for bank loan mum cash balance pment purchases 4% per quarter $5,000 Q1 Q3 Q4 th dividends $5,000 for 01 $4,000 for Q2 $0 for 03 26,000 for 24 $5,000 per quarter Sharp Products Co. Balance Sheet For the Year Ended Dec 31, 2019 $92,000 130,000 5,500 18,300 Assets Current assets: Cash Accounts receivable Raw materials inventory Finished goods inventory Total current assets Plant and equipment Land Buildings and equipment Accumulated depreciation Plant and equipment, net Total assets $245,800 300,000 750,000 [292,000) 758.000 $1,003,800 $68,000 Liabilities and Stockholders' Equity Current liabilities: Accounts payable raw materials) Stockholders' equity. Common stock, no par Retained earnings Total stockholders' equity Total liabilities and stockholders' equity $112,755 823,045 935,800 $1,003,800 Introduction Key Est Budgets Budgeted IS + Ready Type here to search Projectfall2019 - Excel Help Tell me what you want to do Page Layout Review View Home Insert Calibri Formulas V 10 Data V Aignment Sharp Products Co. For the Year Ending December 31, 2020 Sales Budget Introduction Key Est Budgets Budgeted 15 + Type here to search 0 W E R T Y B I U. Paste Clipboard Font Sharp Products Co. For the Year Ending December 31, 2020 Budgeted Income Statement CO2 on WNU 79 on Introduction Key Est Budgets Budgeted IS Ready O Type here to search ORA