Snows, Inc., manufactures and sells snowboards. Snows manufactures a single model, the Pipex. In late 2020, Snows's management accountant gathered the following data to prepare budgets for January 2021 : (Click the icon to view the budgeted balances and additional information pertaining to the cash budget.) (Click the icon to view the additional variable and fixed manufacturing cost information.) (Click the icon to view the materials and labor requirements, the direct materials inventories, and additional inventory information.) (Click the icon to view the following selected January 2021 budgets: Revenue, Direct material purchases, Direct manufacturing labor cost, Variable manufacturing overhead and Ending inventory.) Requirement 1. Prepare a cash budget for January 2021. Show supporting schedules for the calculation of collection of receivables and payments of accounts payable, and for disbursements for fixed manufacturing and operating (nonmanufacturing) overhead. Begin by preparing the supporting schedule for the calculation of collection of receivables. Data table Budgeted balannes at .lanuarv 31 2 are as follows: Selected budgeted information for December 2020 follows: Data table Customer invoices are payable within 30 days. From past experience, Snows's accountant projects 40% of invoices will be collected in the month invoiced, and 60% will be collected in the following month. Accounts payable relates only to the purchase of direct materials. Direct materials are purchased on credit with 25% of direct materials purchases paid during the month of the purchase. and 75% paid in the month followina Data table Customer invoices are payable within 30 days. From past experience, Snows's accountant projects 40% of invoices will be collected in the month invoiced, and 60% will be collected in the following month. Accounts payable relates only to the purchase of direct materials. Direct materials are purchased on credit with 25% of direct materials purchases paid during the month of the purchase, and 75% paid in the month following purchase. Fixed manufacturing overhead costs include $42,000 of depreciation costs and fixed operating (nonmanufacturing) overhead costs include $9,000 of depreciation costs. Direct manufacturing labor and the remaining manufacturing and operating (nonmanufacturing) overhead costs are paid monthly. All property, plant, and equipment acquired during January 2021 were purchased on credit and did not entail any outflow of cash. There were no borrowings or repayments with respect to long-term liabilities in January 2021. On December 15, 2020, Snows's board of directors voted to pay a $175,000 dividend to stockholders on January 31,2021. More info Variable manufacturing overhead is $18 per direct manufacturing labor-hour. There are also $60,000 in fixed manufacturing overhead costs budgeted for January 2021. Snows combines both variable and fixed manufacturing overhead into a single rate based on direct manufacturing labor-hours. Variable marketing costs are allocated at the rate of $330 per sales visit. The marketing plan calls for 42 sales visits during January 2021 . Finally, there are $39,000 in fixed operating (nonmanufacturing) costs budgeted for January 2021. Data table Snows' CEO expects to sell 3,700 snowboards during January 2021 at an estimated retail price of $960 per board. Further, the CEO expects 2021 beginning inventory of 500 snowboards and would like to end January 2021 with 800 snowboards in stock. Data table Other data include: Data table Other data include: The inventoriable unit cost for ending finished-goods inventory on December 31, 2020, is $175.00. Assume Snows uses a FIFO inventory method for both direct materials and finished goods. Ignore work in process in your calculations. Reference Reference Direct Manufacturina Labor Costs Budaet Reference Reference Snows, Inc., manufactures and sells snowboards. Snows manufactures a single model, the Pipex. In late 2020, Snows's management accountant gathered the following data to prepare budgets for January 2021 : (Click the icon to view the budgeted balances and additional information pertaining to the cash budget.) (Click the icon to view the additional variable and fixed manufacturing cost information.) (Click the icon to view the materials and labor requirements, the direct materials inventories, and additional inventory information.) (Click the icon to view the following selected January 2021 budgets: Revenue, Direct material purchases, Direct manufacturing labor cost, Variable manufacturing overhead and Ending inventory.) Requirement 1. Prepare a cash budget for January 2021. Show supporting schedules for the calculation of collection of receivables and payments of accounts payable, and for disbursements for fixed manufacturing and operating (nonmanufacturing) overhead. Begin by preparing the supporting schedule for the calculation of collection of receivables. Data table Budgeted balannes at .lanuarv 31 2 are as follows: Selected budgeted information for December 2020 follows: Data table Customer invoices are payable within 30 days. From past experience, Snows's accountant projects 40% of invoices will be collected in the month invoiced, and 60% will be collected in the following month. Accounts payable relates only to the purchase of direct materials. Direct materials are purchased on credit with 25% of direct materials purchases paid during the month of the purchase. and 75% paid in the month followina Data table Customer invoices are payable within 30 days. From past experience, Snows's accountant projects 40% of invoices will be collected in the month invoiced, and 60% will be collected in the following month. Accounts payable relates only to the purchase of direct materials. Direct materials are purchased on credit with 25% of direct materials purchases paid during the month of the purchase, and 75% paid in the month following purchase. Fixed manufacturing overhead costs include $42,000 of depreciation costs and fixed operating (nonmanufacturing) overhead costs include $9,000 of depreciation costs. Direct manufacturing labor and the remaining manufacturing and operating (nonmanufacturing) overhead costs are paid monthly. All property, plant, and equipment acquired during January 2021 were purchased on credit and did not entail any outflow of cash. There were no borrowings or repayments with respect to long-term liabilities in January 2021. On December 15, 2020, Snows's board of directors voted to pay a $175,000 dividend to stockholders on January 31,2021. More info Variable manufacturing overhead is $18 per direct manufacturing labor-hour. There are also $60,000 in fixed manufacturing overhead costs budgeted for January 2021. Snows combines both variable and fixed manufacturing overhead into a single rate based on direct manufacturing labor-hours. Variable marketing costs are allocated at the rate of $330 per sales visit. The marketing plan calls for 42 sales visits during January 2021 . Finally, there are $39,000 in fixed operating (nonmanufacturing) costs budgeted for January 2021. Data table Snows' CEO expects to sell 3,700 snowboards during January 2021 at an estimated retail price of $960 per board. Further, the CEO expects 2021 beginning inventory of 500 snowboards and would like to end January 2021 with 800 snowboards in stock. Data table Other data include: Data table Other data include: The inventoriable unit cost for ending finished-goods inventory on December 31, 2020, is $175.00. Assume Snows uses a FIFO inventory method for both direct materials and finished goods. Ignore work in process in your calculations. Reference Reference Direct Manufacturina Labor Costs Budaet Reference Reference