Prepare the direct labor budget for the third quarter

Assignment Help Financial Management
Reference no: EM132318888

Black Diamond

Company produces snow skis. Each ski requires 2 pounds of carbon fiber. The company's management predicts that 5,600 skis and 6,600 pounds of carbon fiber will be in inventory on June 30 of the current year and that 156,000 skis will be sold during the next (third) quarter.

A set of two skis sells for $360. Management wants to end the third quarter with 4,100 skis and 4,600 pounds of carbon fiber in inventory. Carbon fiber can be purchased for $21 per pound.

Each ski requires 0.5 hours of direct labor at $26 per hour. Variable overhead is applied at the rate of $14 per direct labor hour. The company budgets fixed overhead of $1,788,000 for the quarter.

Prepare the direct labor budget for the third quarter.

Reference no: EM132318888

Questions Cloud

Principles integrate to build a successful team : How do leadership, motivation and teamwork principles integrate to build a successful team?
Developing understandings of organizational life : Use Strati's aesthetic dimensions, discuss the significance of an aesthetic perspective in developing understandings of organizational life.
How much of now goes to the holders of common stock : A corporation has 100,000 shares of 7 percent noncumulative preferred stock and 40,000 shares of common stock outstanding. Par value for each is $10.
Discuss the commodification of workplace emotion : Critically discuss the commodification of workplace emotion, the cost to workers and issues that might occur from emotional labour.
Prepare the direct labor budget for the third quarter : Company produces snow skis. Each ski requires 2 pounds of carbon fiber. The company's management predicts that 5,600 skis and 6,600 pounds.
How the uber of private jets is winning over celebrities : How the Uber of Private Jets is Winning Over Celebrities and CEOs (YouTube - 2:32) (Links to an external site.)
How technology has impacted the use of roi : This week you learned about the importance of ROI in a business approach to evaluation. Using the Grantham Library or the internet.
Calculate the fica tax deduction for the current pay period : Which of the following is true of a contingent liability? Which of the following is an amount for products or services purchased on account?
Improve leadership effectiveness : When and why should participation be used to improve leadership effectiveness?

Reviews

Write a Review

Financial Management Questions & Answers

  How much equity does kuehner need to put into the project

What are the total construction costs that the bank is willing to finance? How much equity does Kuehner need to put into the project?

  What is the enterprise value for both companies

Which one is more liquid? Explain. What is the enterprise value for both companies?

  Index futures contract at futures price

On January 1, you sold one March maturity S&P 500 Index futures contract at a futures price of 1,250.

  Calculate the NPV for each machine

The company plans to replace the machine when it wears out on a perpetual basis. Calculate the NPV for each machine.

  The perspective of social corporate responsibility

identify alternative courses of action from the perspective of social corporate responsibility and an ethical framework, system,

  Expression for present value of this stream of income

write out an expression for the present value of this stream of income, then find the present value using the tools we developed in class.

  Heavy equipment industry-what is the fair value of the bond

Pentos International (PI) is in heavy equipment industry. What is the fair value of the bond? Use simple compounding and ignore any dilution effects.

  What is the current value of bond

IBM corporation just issued a bond issue. The yield to maturity on this bond is 8.80% what is the current value of this bond?

  Where does the fund accountant obtain this information

What information does the fund accountant need to compute the NAV for a share class daily? Where does the fund accountant obtain this information? How do the different types of information affect NAV?

  What are the appropriate loan rates for each firm

The current prime rate is 7 percent, the 30-year Treasury bond yield is 4 percent, the three-month Treasury bill yield is 3 percent, and the 10-year Treasury.

  Critical thinking and problem solving

Australian corporate tax rate is amongst the highest in the developed economies. one should invest in the company with the most borrowings?

  Analyzed the relation between stock prices and risk aversion

A recent study by Ray Fair at Yale University analyzed the relation between stock prices and risk aversion in the US stock market over time.

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!

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