<span>Balance budget is a budget in which the following condition is satisfied: total revenues are equal to or greater than total expenses and has not </span><span>has no budget deficit. The following items are typically included in a balanced budget: interest income, investment income, income taxes and finally, expenses. </span>
Answer:
Find in the excel file attached detailed adjusting entries required for all transactions in the question.
Explanation:
Please note the analysis of each transaction done under the heading "particulars".
Answer:
a. As per the situation sales exceed production absorption costing income from operations is lesser than variable costing income from operations.
b. $776,160
Explanation:
a. As per the situation sales exceed production absorption costing income from operations is lesser than variable costing income from operations
b. Given that
Beginning inventory = 52,800
Fixed manufacturing costs = $14.70 per unit
Total Beginning inventory = Beginning inventory × Fixed manufacturing costs
= 52,800 × $14.70 per unit
= $776,160
Answer:
The budgeted cost of purchases for raw material K for June is 1,212 pounds.
Explanation:
Computation of budgeted cost of purchase for raw material is shown below
= Required production + ending raw material inventory - opening raw material inventory
where,
Required production = June units × required units
= 300 × 4 pounds
= 1,200 pounds
Ending raw material inventory = 30 % of July units × required units
= 30% × 310 units × 4 pounds
= 372 pounds
Opening raw material inventory = 360 pounds
Now, put these values on the above equation
So, raw material purchase = 1,200 + 372 - 360 = 1,212 pound
Thus, the budgeted cost of purchases for raw material K for June is 1,212 pounds.