User Account

All Pages

Prepare the company direct materials budget

Assignment Help Managerial Accounting
Reference no: EM133075549

Question - The marketing departments of Gaeber Industries has submitted the following

Sales forecast for the upcoming fiscal year:

Budgeted sales (units)

1st quarter: 7,900

2nd quarter: 7,000

3rd quarter: 6,100

4th quarter: 7,000

The company expects to start the first quarter with 1580 units in finished goods inventory. Management desires an ending finished goods inventory in each quarter equal to 20% of next quarters budgeted sales. The desired ending finished goods inventory for the fourth quarter is 1780 units.

In addition, the beginning raw materials inventory for the first quarter is budgeted to be 3920 kilograms and the beginning accounts payable for the first quarter re budgeted to be $15620 each units requires two kilograms of raw materials that cost $7 per kilogram. Management desires to end each quarter with an inventory of raw materials equal to 20% of the following quarters production needs. The desired ending inventory for the fourth quarter is 3220 kilograms. Management plans to pay for 60% of raw material purchases in the quarter acquired and 40% in the following quarter.

1) Prepare the company's production budget for the upcoming fiscal year.

2a) Prepare the company's direct materials budget.

2b) Prepare the schedule of expected cash disbursements for materials for the upcoming fiscal year.

Reference no: EM133075549

Questions Cloud

What is the crossover point between the existing process : This process has a fixed cost of $18,000, and a variable cost of $1.85 per pizza. What is the crossover point between the existing process
What is the price of YC shares today : This same growth rate is expected to last for another two years and then drop to a constant growth rate of 7% thereafter. What is the price of YC shares today
Should the company proceed with the investment or not : The company only accepts investments with a payback of up to three years. Based on the payback rule, should the company proceed with the investment or not
Prepare the appropriate journal entries to record inventory : Using the valuation allowance method, prepare the appropriate journal entries to record inventory adjustments for 2017 and 2018
Prepare the company direct materials budget : The company expects to start the first quarter with 1580 units in finished goods inventory. Prepare the company's direct materials budget
What is the tax benefit received in the first year : What is the tax benefit received in the first year for a laptop purchased for $1,000 with a salvage value of $100 if it has a useful like of 4 years
What is the first year depreciation expense : They estimate it will be driven 100,000 miles at which time it will be sold for $4000. What is the first year depreciation expense if it was driven 25,000 miles
Calculate the first years depreciation expense : Your sport organization purchased a new computer for $1000 and expects to sell it in 5 years for $100. Calculate the first years depreciation expense
What the total amount of the cash dividend : The company has 19,000 shares authorized, 14,000 issued, and 13,500 shares outstanding. What the total amount of the cash dividend

Reviews

Write a Review

Managerial Accounting Questions & Answers

  Manage budgets and financial plans

Explain the budgeting process and its importance to a business, identifying the components of different budgets, forecast estimates for inclusion in the budgets.

  Prepare a retained earnings statement

Prepare a retained earnings statement for the year and Prepare a stockholders' equity section of given case.

  Prepare a master budget for the three-month period

Prepare a master budget for the three-month period.

  Construct the companys direct labor budget

Construct the company's direct labor budget for the upcoming fiscal year, assuming that the direct labor workforce is adjusted each quarter to match the number of hours required to produce the forecasted number of units produced.

  Evaluate the predetermined overhead rate

Evaluate the Predetermined Overhead Rate

  Determine the company''s bid

Determine the company's bid if activity-based costing is used and the bid is based upon full manufacturing cost plus 30 percent.

  Compute the pool rates for the different activities

Complete the schedule to compute the pool rates for the different activities.

  Prepare Company financial statements

Prepare Company financial statements

  Prepare an analysis of terracycles

This individual assignment is based on the TerraCycle Inc.

  Discuss the ethical issues

Discuss the ethical issues

  Political resources in emerging markets

Calculate the GDP in Income Approach  and Expenditure Approach

  Management accounting - ehsan electronics company

A new plant accountant suggested that the company may be able to assign support costs to products more accurately by using an activity based costing system that relies on a separate rate for each manufacturing activity that causes support costs.

Free Assignment Quote

Assured A++ Grade

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd