THE LINES REPRESENT EMPTY BOXES FOR TOTALS AND THE MAY POST OUT OF LINE but shouldnt. when u get to E there is suppose to be two lines under october...then two line under nov..then two for december..but totals for every single line..

Rolen, Inc., is in the process of preparing the fourth quarter budget for 2010, and the following data have been assembled:

The company sells a single product at a price of $58 per unit. The estimated sales volume for the next six months is as follows:

September	11,700 units
October	10,800 units
November	12,600 units
December	18,000 units
January	8,100 units
February	9,000 units

%u2022	All sales are on account. The company's collection experience has been that 30% of a month's sales are collected in the month of sale, 68% are collected in the month following the sale, and 2% are uncollectible. It is expected that the net realizable value of accounts receivable (i.e., accounts receivable less allowance for uncollectible accounts) will be $461,448 on September 30, 2010.
%u2022	Management's policy is to maintain ending finished goods inventory each month at a level equal to 30% of the next month's budgeted sales. The finished goods inventory on September 30, 2010, is expected to be 3,240 units.
%u2022	To make one unit of finished product, 4 pounds of materials are required. Management's policy is to have enough materials on hand at the end of each month to equal 40% of the next month's estimated usage. The raw materials inventory is expected to be 18,144 pounds on September 30, 2010.
%u2022	The cost per pound of raw material is $3, and 70% of all purchases are paid for in the month of purchase; the remainder is paid in the following month. The accounts payable for raw material purchases is expected to be $41,018 on September 30, 2010.

C Prepare a production budget in units, by month and in total, for the fourth quarter of 2010. (Amounts to be deducted should be indicated with minus sign.)

OCOTOBER NOVEMBER DECEMBER TOTAL

Beginning inventory of finished goods : _______ ________ ________ ______

units to be produced _______ ________ ________ ______

________________________________________________________

GOODS available for sale _______ ________ _______ _______

Desired ending inventory of

finished goods (30% of next months

sales budget) _______ ________ ________ ______

Quantity of goods sold ________ ________ _________ _______

(d)

Prepare a materials purchases budget in pounds, by month and in total, for the fourth quarter of 2010.(Amounts to be deducted should be indicated with minus sign.)

OCOTOBER NOVEMBER DECEMBER TOTAL

Beginning inventory of raw materials _______ ________ ______ ______

Purchanses of raw materials _______ ________ ______ ______

_________________________________________________________________________

Raw material available for use ________ ________ ________ ______

Finished goods (40% of next months estimated usage) ______ ______ ____ _____ Quanitity of raw materials to be used _______ ______ ________ ______ in production

(e) Prepare a schedule of cash payments for materials, by month and in total, for the fourth quarter of 2010. (Round your answers to the nearest dollar amount. Omit the "$" sign in your response.) Cash payments for: October NOVEMBER DECEMBER TOTAL September purchases $_______ $______ October purchases ________ $______ Novemberpurchases _______ $_____ $_____

December purchases _____ $_____

TOTAL cash payments $________ $ ______ $ ____ $ _______