SB Exercise E8-5 to E8-10 [The following information applies to the questions displayed below] E8-6 (Algo) Preparing Direct Materials Purchases Budget [LO 8-3c, e] Each shade requires a total of $60.00 in direct materials that includes 4 adjustable poles that cost $5.00 each. Shadee expects to have 120 in direct materials inventory on May 1, 90 poles in inventory on May 31, and 100 poles in inventory on June 30. Shadee Corporation expects to sell 620 sun shades in May and 320 in June. Each shade sells for $155. Shadee's beginning and ending finished goods inventories for May are 90 and 60 shades, respectively. Ending finished goods inventory for June will be 60 shades. Required: Prepare Shadee's May and June purchases budget for the adjustable poles. . . Budgeted Cost of Closures Purchased E8-9 (Algo) Preparing Selling and Administrative Expense Budget [LO 8-3g] Each shade requires a total of $60.00 in direct materials that includes 4 adjustable poles that cost $5.00 each. Shadee expects to have 120 in direct materials inventory on May 1, 90 poles in inventory on May 31, and 100 poles in inventory on June 30. May Suppose that each shade takes three direct labor hour to produce and Shadee pays its workers $14 per hour. Additionally, Shadee fixed manufacturing overhead is $10,000 per month, and variable manufacturing overhead is $13 per unit produced. Additional information: Selling costs are expected to be 12 percent of sales. Fixed administrative expenses per month total $1,600. June Budgeted Selling and Administrative Expenses Required: Prepare Shadee's selling and administrative expense budget for May and June Note: Do not round your intermediate calculations. Round your answers to 2 decimal places. May June
SB Exercise E8-5 to E8-10 [The following information applies to the questions displayed below] E8-6 (Algo) Preparing Direct Materials Purchases Budget [LO 8-3c, e] Each shade requires a total of $60.00 in direct materials that includes 4 adjustable poles that cost $5.00 each. Shadee expects to have 120 in direct materials inventory on May 1, 90 poles in inventory on May 31, and 100 poles in inventory on June 30. Shadee Corporation expects to sell 620 sun shades in May and 320 in June. Each shade sells for $155. Shadee's beginning and ending finished goods inventories for May are 90 and 60 shades, respectively. Ending finished goods inventory for June will be 60 shades. Required: Prepare Shadee's May and June purchases budget for the adjustable poles. . . Budgeted Cost of Closures Purchased E8-9 (Algo) Preparing Selling and Administrative Expense Budget [LO 8-3g] Each shade requires a total of $60.00 in direct materials that includes 4 adjustable poles that cost $5.00 each. Shadee expects to have 120 in direct materials inventory on May 1, 90 poles in inventory on May 31, and 100 poles in inventory on June 30. May Suppose that each shade takes three direct labor hour to produce and Shadee pays its workers $14 per hour. Additionally, Shadee fixed manufacturing overhead is $10,000 per month, and variable manufacturing overhead is $13 per unit produced. Additional information: Selling costs are expected to be 12 percent of sales. Fixed administrative expenses per month total $1,600. June Budgeted Selling and Administrative Expenses Required: Prepare Shadee's selling and administrative expense budget for May and June Note: Do not round your intermediate calculations. Round your answers to 2 decimal places. May June
Managerial Accounting: The Cornerstone of Business Decision-Making
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ISBN:9781337115773
Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Chapter9: Profit Planning And Flexible Budgets
Section: Chapter Questions
Problem 23BEA: Preparing a Direct Materials Purchases Budget Patrick Inc. makes industrial solvents sold in...
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Concept explainers
Master Budget
A master budget can be defined as an estimation of the revenue earned or expenses incurred over a specified period of time in the future and it is generally prepared on a periodic basis which can be either monthly, quarterly, half-yearly, or annually. It helps a business, an organization, or even an individual to manage the money effectively. A budget also helps in monitoring the performance of the people in the organization and helps in better decision-making.
Sales Budget and Selling
A budget is a financial plan designed by an undertaking for a definite period in future which acts as a major contributor towards enhancing the financial success of the business undertaking. The budget generally takes into account both current and future income and expenses.
Question
Required: Prepare Shadee's May and June purchases budget for the adjustable poles.
. Required: Prepare Shadee's selling and administrative expense budget for May and June. Note: Do not round your intermediate calculations. Round your answers to 2 decimal places.
![SB Exercise E8-5 to E8-10
[The following information applies to the questions displayed below]
E8-6 (Algo) Preparing Direct Materials Purchases Budget [LO 8-3c, e]
Each shade requires a total of $60.00 in direct materials that includes 4 adjustable poles that cost $5.00 each. Shadee expects to
have 120 in direct materials inventory on May 1, 90 poles in inventory on May 31, and 100 poles in inventory on June 30.
Shadee Corporation expects to sell 620 sun shades in May and 320 in June. Each shade sells for $155. Shadee's
beginning and ending finished goods inventories for May are 90 and 60 shades, respectively. Ending finished goods
inventory for June will be 60 shades.
Required:
Prepare Shadee's May and June purchases budget for the adjustable poles.
.
.
Budgeted Cost of Closures Purchased
E8-9 (Algo) Preparing Selling and Administrative Expense Budget [LO 8-3g]
Each shade requires a total of $60.00 in direct materials that includes 4 adjustable poles that cost $5.00 each. Shadee expects to
have 120 in direct materials inventory on May 1, 90 poles in inventory on May 31, and 100 poles in inventory on June 30.
May
Suppose that each shade takes three direct labor hour to produce and Shadee pays its workers $14 per hour. Additionally, Shadee
fixed manufacturing overhead is $10,000 per month, and variable manufacturing overhead is $13 per unit produced.
Additional information:
Selling costs are expected to be 12 percent of sales.
Fixed administrative expenses per month total $1,600.
June
Budgeted Selling and Administrative Expenses
Required:
Prepare Shadee's selling and administrative expense budget for May and June
Note: Do not round your intermediate calculations. Round your answers to 2 decimal places.
May
June](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fe27fe8aa-42dc-4abb-95e4-76dcbb550513%2F1472b108-0359-48bb-98bb-11f61d1d8071%2Fjz6fhsr_processed.png&w=3840&q=75)
Transcribed Image Text:SB Exercise E8-5 to E8-10
[The following information applies to the questions displayed below]
E8-6 (Algo) Preparing Direct Materials Purchases Budget [LO 8-3c, e]
Each shade requires a total of $60.00 in direct materials that includes 4 adjustable poles that cost $5.00 each. Shadee expects to
have 120 in direct materials inventory on May 1, 90 poles in inventory on May 31, and 100 poles in inventory on June 30.
Shadee Corporation expects to sell 620 sun shades in May and 320 in June. Each shade sells for $155. Shadee's
beginning and ending finished goods inventories for May are 90 and 60 shades, respectively. Ending finished goods
inventory for June will be 60 shades.
Required:
Prepare Shadee's May and June purchases budget for the adjustable poles.
.
.
Budgeted Cost of Closures Purchased
E8-9 (Algo) Preparing Selling and Administrative Expense Budget [LO 8-3g]
Each shade requires a total of $60.00 in direct materials that includes 4 adjustable poles that cost $5.00 each. Shadee expects to
have 120 in direct materials inventory on May 1, 90 poles in inventory on May 31, and 100 poles in inventory on June 30.
May
Suppose that each shade takes three direct labor hour to produce and Shadee pays its workers $14 per hour. Additionally, Shadee
fixed manufacturing overhead is $10,000 per month, and variable manufacturing overhead is $13 per unit produced.
Additional information:
Selling costs are expected to be 12 percent of sales.
Fixed administrative expenses per month total $1,600.
June
Budgeted Selling and Administrative Expenses
Required:
Prepare Shadee's selling and administrative expense budget for May and June
Note: Do not round your intermediate calculations. Round your answers to 2 decimal places.
May
June
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