Ex 8-16
Name:
Enter the appropriate amounts in the shaded cells in columns D, F, H, and J.
1)
Quarter 1
Berring Company
Sales Budget
Quarter 2
Quarter 3
Quarter 4
Berring Company
Production Budget
Quarter 1
Quarter 2
Quarter 3
Deluxe:
Units
x Unit price
Standard:
Units
x Unit price
Total
3)
Production budget for Deluxe:
Sales
Desired ending inventory
Total needs
Less: Beginning inventory
Units to produce
Production budget for Standard:
Sales
Desired ending inventory
Total needs
Less: Beginning inventory
Units to produce
Year
Ex 8-16
Name: SOLUTION
Enter the appropriate amounts in the shaded cells in columns D, F, H, and J.
1)
Quarter 1
Deluxe:
Units
x Unit price
Standard:
Units
x Unit price
Total
Berring Company
Sales Budget
Quarter 2
Quarter 3
Quarter 4
Year
12,000
$40.00
$480,000
14,300
$40.00
$572,000
16,600
$40.00
$664,000
20,000
$40.00
$800,000
62,900
$40.00
$2,516,000
90,000
$10.00
$900,000
$1,380,000
88,400
$10.00
$884,000
$1,456,000
92,000
$10.00
$920,000
$1,584,000
91,600
$10.00
$916,000
$1,716,000
362,000
$10.00
$3,620,000
$6,136,000
3)
Berring Company
Production Budget
Quarter 1
Quarter 2
Quarter 3
Production budget for Deluxe:
Sales
Desired ending inventory
Total needs
Less: Beginning inventory
Units to produce
12,000
2,860
14,860
1,300
13,560
14,300
3,320
17,620
2,860
14,760
16,600
4,000
20,600
3,320
17,280
Production budget for Standard:
Sales
Desired ending inventory
Total needs
Less: Beginning inventory
Units to produce
90,000
8,840
98,840
1,170
97,670
88,400
9,200
97,600
8,840
88,760
92,000
9,160
101,160
9,200
91,960
Ex 8-17
Name:
Enter the appropriate amounts in the shaded cells in columns D, F, H, and J.
1)
Crescent Company
Direct Materials Purchases Budget for Fabric
For the 4th Quarter
October
November
December
Total
December
Total
December
Total
Units to be produced
DM per unit (yards)
Production needs
Desired ending inventory (yards)
Total needs
Less: Beginning inventory
Direct materials to be purchased
Cost per yard
Total purchase cost
2)
Crescent Company
Direct Materials Purchases Budget – Polyfiberfill
For the 4th Quarter
October
November
Units to be produced
DM per unit (ounces)
Production needs
Desired ending inventory (ounces)
Total needs
Less: Beginning inventory
Direct materials to be purchased
Cost per ounce
Total purchase cost
3)
Crescent Company
Direct Labor Budget
For the 4th Quarter
October
Units to be produced
Direct labor time per unit (hours)
Total hours needed
Wage per hour
Total direct labor cost
November
Ex 8-17
Name: SOLUTION
Enter the appropriate amounts in the shaded cells in columns D, F, H, and J.
1)
Crescent Company
Direct Materials Purchases Budget for Fabric
For the 4th Quarter
Units to be produced
DM per unit (yards)
Production needs
Desired ending inventory (yards)
Total needs
Less: Beginning inventory
Direct materials to be purchased
Cost per yard
Total purchase cost
2)
October
42,000
0.20
8,400
3,600
12,000
1,680
10,320
$
3.50
$ 36,120
November
90,000
0.20
18,000
2,000
20,000
3,600
16,400
$
3.50
$ 57,400
December
50,000
0.20
10,000
1,600
11,600
2,000
9,600
$
3.50
$ 33,600
Total
182,000
0.20
36,400
1,600
38,000
1,680
36,320
$
3.50
$ 127,120
December
50,000
8
400,000
128,000
528,000
160,000
368,000
$
0.05
$ 18,400
Total
182,000
8
1,456,000
128,000
1,584,000
134,400
1,449,600
$
0.05
$
72,480
December
50,000
0.10
5,000
$
15.00
$ 75,000
Total
182,000
0.10
18,200
$
15.00
$ 273,000
Crescent Company
Direct Materials Purchases Budget – Polyfiberfill
For the 4th Quarter
Units to be produced
DM per unit (ounces)
Production needs
Desired ending inventory (ounces)
Total needs
Less: Beginning inventory
Direct materials to be purchased
Cost per ounce
Total purchase cost
3)
October
42,000
8
336,000
288,000
624,000
134,400
489,600
$
0.05
$ 24,480
November
90,000
8
720,000
160,000
880,000
288,000
592,000
$
0.05
$ 29,600
Crescent Company
Direct Labor Budget
For the 4th Quarter
Units to be produced
Direct labor time per unit (hours)
Total hours needed
Wage per hour
Total direct labor cost
October
42,000
0.10
4,200
$
15.00
$ 63,000
November
90,000
0.10
9,000
$
15.00
$ 135,000
Ex 8-22
Name: SOLUTION
Enter the appropriate amounts in the shaded cells in columns F, H, J, and L.
1)
Cash Budget
For the Month of October
Beginning cash balance
Collections:
Cash sales
Credit sales:
Current month
Sept. credit sales
August credit sales
Total cash available
Less: Disbursements:
Inventory purchases:
Current month
Prior month
Total
Salaries
needs
and wages
Rent
Taxes
Other operating expenses
Owner withdrawal
Advertising
Internet and telephone
Total cash needs
Excess of cash available over needs
x 40%
x 36%
x 22%
x 70% x 45%
x 70% x 55%
Ex 8-22
Name: SOLUTION
Enter the appropriate amounts in the shaded cells in columns F, H, J, and L.
1)
Cash Budget
For the Month of October
Beginning cash balance
Collections:
Cash sales
Credit sales:
Current month
$
Sept. credit sales
$
August credit sales
$
Total cash available
Less: Disbursements:
Inventory purchases:
Current month
$
Prior month
$
Total
Salaries
needs
and wages
Rent
Taxes
Other operating expenses
Owner withdrawal
Advertising
Internet and telephone
Total cash needs
Excess of cash available over needs
$ 1,118
5,000
63,000
62,000
58,000
68,000
66,500
x 40%
x 36%
x 22%
x 70% x 45%
x 70% x 55%
25,200
22,320
12,760
$
66,398
$
64,778
1,620
$ 21,420
25,603
3,850
3,150
1,635
3,800
3,500
1,500
320
Ex 8-24
Name:
Enter the appropriate amount in the shaded cells in columns E and G.
Del Spencer’s Men’s Clothing Store
Schedule of Anticipated Cash Receipts
August
Cash sales
Received from sales in:
June
July
September
0
0
0
August
September
Total
0
0
0
Ex 8-24
Name: SOLUTION
Enter the appropriate amount in the shaded cells in columns E and G.
Del Spencer’s Men’s Clothing Store
Schedule of Anticipated Cash Receipts
Cash sales
Received from sales in:
June
July
August
September
Total
August
$5,600
55,000
45,000
45,000
56,000
56,000
83,000
90%
90%
90%
90%
90%
90%
14%
65%
14%
15%
65%
15%
103%
100%
103%
100%
100%
100%
September
$8,300
7,138
26,325
5,840
7,560
$46,623
32,760
11,205
$58,105