Reference no: EM131264823
Critical Thinking Budgeting - Cryon Corporation
Cryon Corporation manufactures and sells a seasonal product that has a peak in sales in the third quarter. The following information reflects projections for Year 2 - the coming year - and the first quarter of Year 3.
1. Units sell at $10 each. Budgeted sales for the next 5 quarters are outlined below.
|
|
Year 2 Quarter
|
Year 3
|
|
|
1
|
2
|
3
|
4
|
1
|
|
Budgeted unit sales
|
50,000
|
70,000
|
120,000
|
70,000
|
60,000
|
2. Sales are collected in the following pattern: 75% are collected in the quarter the sales are made, and the remaining 25% are collected in the following quarter. On January 1, Year 2, the company had accounts receivable of $65,000, all of which will be collected in the first quarter of Year 2. Bad debts are negligible and can be ignored.
3. The company desires finished goods inventory at the end of each quarter equal to 30% of the budgeted unit sales for the next quarter. On December 31, Year 1, the company had 15,000 completed units on hand.
4. Five pounds of raw materials inventory is required to complete one unit of product. The company requires ending raw materials inventory at the end of each quarter equal to 10% of the following quarter's production needs. On December 31, Year 1, the company had 38,000 pounds of raw material on hand.
5. Raw material cost is $0.80 per pound.
Required:
Prepare the following budgets and schedules for Year 2, showing quarterly figures:
1. Sales budget
2. Schedule of expected cash collections
3. Production budget
4. Direct materials budget that summarizes both pounds and dollars.
You should use an Excel spreadsheet for your answers.
|
Analysis of the core customer in the established markets
: Analyse the results to draw valid conclusions in a business context - Analyse data using measures of dispersion to inform a given business scenario and Create information for decision making by summarising data using representative values
|
|
Calculate mean median range and variance
: Please calculate mean, median, mode & standard deviation, range, variance for following 10 sample home prices. Please perform the calculations in EXCEL and attach the file for the credit.
|
|
Identify products for winter and spring and summer and fall
: During your last two visits to Gap or Old Navy, were there any products you expected the two stores to carry but couldn't find?
|
|
Identify a set of measurements to evaluate the task
: Address how frequently the process was evaluated and whether the feedback provided contributed toward or detracts from successful outcome(s) for that process. If no performance measurement is used, identify a set of measurements to evaluate the ta..
|
|
Prepare the sales budgets and schedules for year two
: Prepare the following budgets and schedules for Year 2, showing quarterly figures: Sales budget, Schedule of expected cash collections and Production budget
|
|
Arrange the benefits information into a simple outline
: Outlining Web designers at Gap Inc. are complaining about their assignment to develop Web pages describing Gap's employment benefits.- Arrange the benefits information into a simple outline with five major headings and a title.
|
|
Design on the analysis of a plate strip
: You may base your design on the analysis of a plate strip 15 cm long and 1 cm wide, which can be analyzed as a beam.
|
|
Find probability that rating will be less than given points
: Find the probability that the rating will fall between 500 and 700 points. Find the probability that the rating will fall between 400 and 500 points. Find the probability that the rating will be less than 850 points.
|
|
Write a brief paper that summarizes and comments on article
: After reading the article, write a brief paper (3 - 5 paragraphs) that summarizes and comments on the article. (Your paper should provide the appropriate citation(s).
|