Chapter 6 - Dianne Estrada 6-30 Revenue and production...

Info iconThis preview shows pages 1–3. Sign up to view the full content.

View Full Document Right Arrow Icon
Dianne Estrada 6-30 Revenue and production budgets. 1. Units Price Total Thingone 60,000 $165 $9,900,000 Thingtwo 40,000 $250 $10,000,000 Budgeted Revenues $19,900,000 2. Thingone Thingtwo Budgeted sales in units 60,000 40,000 Add target finished goods inv. December 31, 2010 25,000 9,000 Total requirements 85,000 49,000 Less finished goods inv. January 1, 2010 20,000 8,000 Units to be produced 65,000 41,000 3. A B C Direct materials Thingone 260,000 130,000 0 Thingtwo 205,000 123,000 41,000 Total 465,000 253,000 41,000 Add target inv. Dec. 31, 2010 36,000 32,000 7,000 Total requirements 501,000 285,000 48,000 Deduct beg. Inv. Jan. 1, 2010 32,000 29,000 6,000 Direct materials to be purchased 469,000 256,000 42,000 4. Budgeted Expected Total Direct material A 469,000 $12 $5,628,000 Direct material B 256,000 $5 $1,280,000 Direct material C 42,000 $3 $126,000 Budgeted purchases $7,034,000
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
5. Budgeted Production Labor Hours Total Hours Rate Total Thingone 65,000 2 130,000 $12 ### Thingtwo 41,000
Background image of page 2
Image of page 3
This is the end of the preview. Sign up to access the rest of the document.

Page1 / 5

Chapter 6 - Dianne Estrada 6-30 Revenue and production...

This preview shows document pages 1 - 3. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online