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the production budget sheet please Oriole Farm Supply Company manufactures and sells a pesticide called Snare. The following data are avallable for preparing budgets for
the production budget sheet please
Oriole Farm Supply Company manufactures and sells a pesticide called Snare. The following data are avallable for preparing budgets for Snare for the first 2 quarters of 2020 . 1. Sales: quarter 1,29,800 bags; quarter 2,43,800 bags. Selling price is $63 per bag. 2. Direct materials; each bag of $ nare requires 4 pounds of Gumm at a cost of $3.80 per pound and 6 pounds of Tarr at $1.75 per pound. 3. Desired inventory levels: 4. Direct labor: direct labor time is 15 minutes per bag at an hourly rate of $16 per hour. 5. Seling and administrative expenses are expected to be 15% of sales plus $180,000 per quarter. 6. Interest expense is $100,000. 7. Income taxes are expected to be 30% of income before income taxes. 4. Direct labor: direct labor time is 15 minutes per bag at an hourly rate of $16 per hour. 5. Selling and administrative expenses are expected to be 15% of sales plus $180,000 per quarter. 6. Interest expense is $100,000. 7. Income taxes are expected to be 30% of income before income taxes. Your assistant has prepared two budgets: (1) the manufacturing overhead budget shows expected costs to be 125% of direct labor cost, and (2) the direct materials budget for Tarr shows the cost of Tarr purchases to be $298,000 in quarter 1 and $423,500 in quarter 2. (Note. Do not prepare the manufacturing overhead budget or the direct materials budget for Tarr.) Prepare the sales budget. Prepare the production budget. ORIOLE FARM SUPPLY COMPANY Production Budget Quarter 1. 2 1 Total Required Direct Labor Hours Desired Ending Direct Materials Total Direct Labor Cost Beginning Finished Goods Units Desired Ending Finished Goods Units Direct Labor Cost per Hour Total Required Units Direct Materials Purchases Expected Unit Sales Direct Materials per Unit Direct Labor Time per Unit Cost per Pound Total Pounds Needed for Production Required Production Units Total Materials Required Beginning Direct Materials lago. Total Cost of Direct Materials Purchases n the due dat Step by Step Solution
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