Trevor, Inc. Direct Materials Budget For the Year Ended December 31 First Second Third Fourth Quarter Quarter Quarter Quarter Total Budgeted kits to be produced 250 220 400 700 1,570 Direct materials (ounces) per kit 4 4 4 4 Direct materials needed for production 1,000 880 1,600 2,800 6,280 Plus: Desired direct materials in ending inventory 176 320 560 290 290 Total direct materials needed 1,176 1,200 2,160 3,090 6,570 Less: Direct materials in beginning inventory 930 176 320 560 930 Budgeted purchases of direct materials 246 1,024 1,840 2,530 5,640 Direct materials cost per ounce $ 2 2 $ 2 $ 2 $ 2 Budgeted cost of direct materials purchases 492 2,048 $ 3,680 $ 5,060 $ 11,280Trevor, Inc. Direct Labor Budget For the Year Ended December 31 First Second Third Fourth Quarter Quarter Quarter Quarter Total Budgeted kits to be produced 250 220 400 700 1,570 Direct labor hours per unit 0.25 0.25 0.25 0.25 0.25 Direct labor hours needed for production 62.50 55.00 100.00 175.00 392.50 Direct labor cost per hour S 50 S 50 S 50 S 50 S 50 Budgeted direct labor cost S 3, 125 S 2,750 $ 5,000 S 8,750 S 19,625Trevor, Inc. Manufacturing Overhead Budget For the Year Ended December 31 First Second Third Fourth Quarter Quarter Quarter Quarter Total Budgeted kits to be produced 250 220 400 700 1,570 VOH cost per kit S 0.40 0.40 S 0.40 S 0.40 0.40 Budgeted VOH S 100.00 S 88.00 S 160.00 S 280.00 S 628.00 Budgeted FOH 130.00 130.00 130.00 130.00 520.00 Budgeted manufacturing overhead costs S 230.00 S 218.00 S 290.00 S 410.00 1,148.00 Direct labor hours 62.50 55.00 100.00 175.00 392.50 Budgeted manufacturing overhead costs 1,148.00 Predetermined overhead allocation rate 2.92x EM5-25 (similar to) Question Help Trevor, Inc. manufactures model airplane kits. Direct materials are four ounces of plastic per kit and the plastic costs $2 per ounce. Indirect materials are considered insignificant and are not included in the budgeting process. Each kit requires 0.25 hours of direct labor at an average cost of $50 per hour. Manufacturing overhead is allocated using direct labor hours as the allocation base. The company has prepared the following budgets: (Click the icon to view the budgets.) Trevor projects sales of 200, 100, 700, and 800 kits for the next four quarters. Trevor has no kits in beginning inventory. Determine the cost per kit to manufacture the model airplane kits. Prepare a cost of goods sold budget for the year. Round amounts to two decimal places. Determine the cost per kit to manufacture the model airplane kits. (Round your answers to two decimal places, $X.XX.) Direct labor cost per kit 12.50 Direct materials cost per kit 8.00 Manufacturing overhead cost per kit 0.73 Total projected manufacturing cost per kit 21.23 Prepare a cost of goods sold budget for the year. (Complete all input fields. Enter "0" for zero balances.) Trevor, Inc. Cost of Goods Sold Budget For the Year Ended December 31 First Second Third Fourth Quarter Quarter Quarter Quarter Total Beginning inventory Kits produced and sold Total budgeted cost of goods sold Choose from any list or enter any number in the input fields and then click Check Answer. ? All parts showing Clear All Check