Thunder Creek Company expects sales of 18,000 units in Jnuary 2018, 24,000 units in February 30,000 units in March, 34,000 in April, and 36,000 in May. The sales price is $34 per unit. Prepare a sales budget. 2018 Budget : Sales Budget Jan Feb Mar Q1 Total April May Budgeted units to be sold Sales price per unit Total Sales Thunder Creek wants to finish each month with 20% of next month's sales in units. Prepare a production budget. (When entering answers in the production budget, use the sales budget for your cell references. Enter all values as positive--without a minus sign--in row 18.) Hint: Beginning inventory for the period is equal to the ending inventory of the previous period 2017 2018 Q1 Total Dec Jan Feb Mar April May Budget 2: Production Budget Budgeted units to be sold Plus: Desired unitsin ending inventory Total units needed Less Units in beginning inventory Budgeted units to be produced Thunder Creek Company uses 2 pounds of direct materials for each unit it produces, at a cost of $4.00 per pound. The company begins the year with 9.500 pounds of material in Raw Materials inventory. Management desires an ending inventory of 25% of next month's materials requirements Prepare a Direct Materials Budget. (When entering answers in the direct materials budget, use the production budget for your cell references. Enter all values as positive--without a minus sign--in row 31.1 2018 Mar Feb 21 Total April Budget 3: Direct Materials Budget Budgeted units to be produced Direct materials (pounds) per unit Direct materials needed for production Plus: Desired direct materials in ending inventory (pounds) Total direct materials needed Less: Direct materials in beginning inventory (pounds! Budgeted purchase of direct materials Direct material cost per pound Budgeted cost of direct materials purchases Thunder Creek Company's workers require 30 minutes of labor to produce each unit of product. The labor cost is $20 per hour Prepare a Direct Labor Budget. (When entering answers in the direct labor budget, use the direct materials budget for your cell references.) 2018 Jan Mar Q1 Total Budget #4: Direct Labor Budget Feb Budgeted units to be produced Direct labor hours per unit Direct labor hours needed for production Direct labor cost per hour Budgeted direct labor cost Thunder Creek Company prepares its Manufacturing Overhead Budget. For each direct labor hour, the variable overhead costs are: Indirect Materials = $1.00 per DLH; Indirect Labor Cost = $1.30 per DLH; Maintenance = $1.20 per DLH The Fixed Overhead Costs per month are: Salaries of $40,000, Depreciation =$20,000 and Maintenance = $10,000. Prepare a Manufacturing Overhead Budget. (When entering answers in the manufacturing overhead budget, use the direct labor budget for your cell references.) Use '-ROUND'function to round the predetermined overhead allocation rate to two decimal places. Manufacturing overhead is allocated using direct labor hours. 2018 Jan Feb Mar Q1 Total Budget #5: Manufacturing Overhead Budget Budgeted units to be produced VOH cost per unit Budgeted VOH Budgeted FOH Depreciation Salaries and maintenance Total budgeted FOH Jan Feb Mar Q1 Total Budget as: Manufacturing Overhead Budget Budgeted units to be produced VOH cost per unit Budgeted VOH Budgeted FOH Depreciation Salaries and maintenance Total budgeted FOH fludgeted manufacturing overhead costs Direct labor hours (O) Predetermined overhead allocation rate per DHE Thunder Creek Company uses the first in, first-out (FIFO) Inventory costing method. The Beginning Finished Goods Inventory is $86,400 consisting of 3.600 units. Segin by calculating the projected cost to produce each unit in 2018 based on projected sales. (Hint: In "Cost per unit" table, cell references come from Direct Materials, Direct labor, and Manufacturing Overhead by UROUND function to round the fined manufacturing overhead cost per unit to two decimal places. Prepare a cost of Goods Sold Budget Clint: Units per month calculated using cell references to both sales budget and production budget Thunder Creek Company uses the first-In, first-out (FIFO inventory costing method. The Beginning Finished Goods Inventory is $86,400 consisting of 3,600 units. Begin by calculating the projected cost to produce each unit in 2018 based on projected sales. (Hint: In "Cost per unit" table, cell references come from Direct Materials, Direct Labor, and Manufacturing Overhead Use 'ROUND function to round the fixed manufacturing overhead cost per unit to two decimal places. Prepare a Cost of Goods Sold Budget. (Hint: Units per month calculated using cell references to both sales budget and production budget.) Cost per unit Direct material cost per unit Direct labor cost per unit Manufacturing overhead cost per unit Total projected manufacturing cost per unit 2018 lan Feb Mar Q1 Total Budget : Cost of Goods Sold Budget Beginning Finished Goods Inventory,2,000 units. Units produced and sold in 2018 Cost per unit Units per month Total cost of units produced and sold in 2018 Total budgeted cost of goods sold Total projected manufacturing cost per unit 2018 Jan Feb Mar Q1 Total Budget #6: Cost of Goods Sold Budget Beginning Finished Goods Inventory, 3,600 units. Units produced and sold in 2018 Cost per unit Units per month Total cost of units produced and sold in 2018 Total budgeted cost of goods sold Feb Thunder Creek Company's variable supplies expense per month is $300 per unit. The fixed selling and administrative expenses per month consist of Salaries $245,000; Advertising $30,000; and Depreciation: $28,000 Prepare a Selling and Administrative Expense Budget. (When entering answers in the selling and administrative budget, use the sales budget for your cell references.) 2018 Budget #7: Selling and Administrative Expense Budget Jan Mar Q1 Total Salaries expense Advertising expense Depreciation expense Supplies expense Total budgeted S&A expense