Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Question - Illuminate Ltd. is a company that produces various coloured lights that is distributed through gift shops located in major shopping centres across Fiji. One of its best sellers is the Aura coloured lights. In 2021, the company projects selling 100 000 of Aura lights in April, 120 000 in May, and 140 000 in June. The Aura light sells for $20 and has the following standard unit production costs at a monthly volume of 100 000 units:
Raw materials $5.00
Direct labour 8.00
Variable overhead 2.00
Fixed overhead 0.50
The budgeted fixed production costs include non-cash expenses of $20 000. Under-or overapplied overhead is closed to the Cost of Goods Sold each month. Other monthly expenses include distribution expenses of 10 percent of sales and administrative expenses of $5 000.
The Company currently has 40 000 Aura lights on hand and sufficient raw materials to produce 100 000 additional units. The company desires to have sufficient quantities of the finished product on hand at the end of each month to supply 50 percent of the following month's sales and sufficient raw materials to supply 80 percent of the following month's production.
The Company believes in "cash on the barrel head." It pays all debts immediately and it does not sell on account. The current March 31 cash balance is $10 000.
REQUIRED -
(a) Prepare a production budget (in units) for April and May.
(b) Prepare a purchases budget for April.
(c) Prepare a Cash budget for April.
The monthly sales of Roy Corporation is 8,000 units. What should be the overall effect on the company's monthly net operating income of this change
Allocate the joint cost to the cookies and the Soyola using: Sales value at splitoff method and NRV method
Provide the journal entry to record the payroll tax expense for the period. If an amount box does not require an entry, leave it blank
Make the entry to record the revenue and gross profit for 2018. How much gross profit should be reported for 2019? Show your computation.
The balance in the Cash account at the beginning of the year was $109,000; the balance at the end of the year was $ ?
At the end of 2020, Cullumber Co. has an allowance for doubtful accounts of $36,000. What is the carrying amount of the accounts receivable
To achieve the company's goal, managers will receive incentives. Is an example of setting budget goals too tightly, too loosely, or conflicting budget goals?
If the bank responds to the new customer profitability numbers by letting one retail customer go, by how much would its total income for the year change?
Oriole Company purchased $7,500 of merchandise from Ivanhoe Company terms 2/10, n/30. Prepare separate entries for each transaction
Compute the present value of an investment at 10% per year, which has a $3000 return only at the end of Year 3, 4, and 5. Provide solution
Determine the accounting entries for the cost of output and the cost of the loss if actual output were as follows: 800 units (so that actual loss is 200 units)
Determine the total cost of ending work in process inventory and the total cost of units transferred to the next process in June
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd