1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
notka56 [123]
2 years ago
8

Palm Imagination makes and sells silk palm trees. Each tree uses 0.80 yards of silk fabric. Budgeted production of trees in unit

s for the next five months is as follows:
Business
1 answer:
Vinvika [58]2 years ago
6 0

1. The preparation of the direct materials purchases budget for June for Palm Imagination is as follows:

<h3>Direct materials purchases budget </h3>

                                                  June

Budgeted production           26,570

Production materials            21,256

Inventory of Fabric:

Ending Materials                    3,226

Production materials            21,256

Materials available              24,482

Beginning Materials               3,188

Unit Purchases                   21,294 yards

Cost of purchases            $42,588 ($21,294 x $2)

2. The amounts of Raw Materials and Finished Goods Inventory to be reported on Palm Imagination’s June 30 balance sheet are as follows:

Ending inventory of raw materials = $6,452.

Ending inventory of finished goods = $104,576.75.

<h3>Data and Calculations:</h3>

Silk Fabric per tree = 0.80 yards

                                          April        May        June          July     August

Budgeted production    24,160    23,490    26,570    26,880   22,900

Production materials     19,328     18,792    21,256     21,504    18,320

Inventory of Fabric:

Ending Materials             2,819       3,188       3,226        2,748

Production materials    19,328     18,792      21,256      21,504    18,320

Materials available       22,147     21,980     24,482     24,252

Beginning Materials      2,899      2,819         3,188       3,226      2,748

Purchases                   19,248      19,161      21,294     21,026

Cost of purchases   $38,496   $38,322   $42,588  $42,052

                                    April        May        June          July     August

Budgeted sales       24,500   22,800    26,250     27,850   23,000

<h3>Finished Goods:</h3>

Ending inventory       4,560     5,250       5,570       4,600

Budgeted sales       24,500  22,800    26,250     27,850   23,000

Goods available      29,060  28,050     31,820     32,450

Beginning inventory 4,900     4,560      5,250       5,570     4,600

Production units      24,160   23,490    26,570    26,880

<h3>Raw materials costs for June:</h3>

Required production materials = 21,256

Total cost of materials = $42,512 (21,256 x $2)

Direct labor costs =        $327,342.40 ($14 x 21,256 x 1.1)

Factory overhead costs = $29,227 ($1.25 x 23,381.60 hours)

Total production costs = $399,081.40

Unit production cost = $18.775 ($399,081.40/21,256)

Ending inventory of finished goods = $104,576.75 ($18.775 x 5,570)

Ending inventory of raw materials = $6,452 (3,226 x $2.00)

<h3>Question Completion:</h3>

                                          April        May        June          July     August

Budgeted production    24,160    23,490    26,570    26,880   22,900

Budgeted sales            24,500    22,800    26,250    27,850   23,000

The company wants to maintain monthly ending inventories of fabric equal to 15% of the following month's budgeted production needs, and monthly inventories of trees equal to 20% of the number needed for next month’s sales. The cost of silk is $2.00 per yard. Direct labor cost is $14.00 per hour and it takes 66 minutes to complete each tree. Factory overhead is applied at the rate of $1.25 per direct labor dollar.

Prepare a direct materials purchases budget for June.

Calculate the amount of Raw Materials and Finished Goods Inventory to be reported on Palm Imagination’s June 30 balance sheet.

Thus, the direct materials purchases budget for June has been prepared and the amounts of Raw Materials and Finished Goods Inventory reported on Palm Imagination’s June 30 balance sheet are indicated above.

Learn more about preparing budgets at brainly.com/question/15898934

#SPJ1

You might be interested in
Delish Foods sells jars of special spices used in Italian cooking. The variable cost is $2 per unit. Fixed costs are $9,000,000
Ymorist [56]

Answer:

$3.38 per unit

Explanation:

Total costs:

= Total fixed cost + Total variable cost

= $9,000,000 + (5,000,000 units × $2 per unit)

= $9,000,000 + $10,000,000

= $19,000,000

Target revenue:

= Total costs - Desired profit

= $19,000,000 - ($42,000,000 × 5%)

= $19,000,000 - $2,100,000

= $16,900,000

Sales price per unit = Target revenue ÷ Total units

                                = $16,900,000 ÷ 5,000,000

                                = $3.38 per unit

8 0
3 years ago
After an extensive advertising campaign, the manager of a company wants to estimate the proportion of potential customers that r
spayn [35]

Answer:

1. Referring to Problem , the manager wants to know the value of the population so the manager uses the sample to estimate the population proportion.

a. True

2. Referring to Problem , point estimate of the population proportion is = 0.45.

a. True

3. Referring to problem , the sample proportion is = 0.45.

b. False

4. Referring to Problem, the manager wants to know the value for the population so the manager uses the sample to estimate the population value

b. False

5. Referring to Problem , the parameter of interest is 54/120 = 0.45.

a. True

Explanation:

a) Data and Calculations:

Sample of potential consumers = 120

Proportion of the sample who recognize the product = 54

Confidence level = 95%

Confidence interval = 0.36 to 0.54

Point estimate = 54/120 = 0.45

b) A point estimate of a population parameter estimates the population parameter as a single value.  The point estimate of the sample mean, x, is also the point estimate of the population mean, μ.  To get the sample proportion, one needs to know the population value.  The sample value divided by the population value gives the sample proportion.

7 0
2 years ago
Whether a firm has growth or value and how this firm characteristic affects an estimate of the cost of equity is called the ____
Dahasolnce [82]
It is called value factor. There are two kinds of value factor one is present value factor and second is future value factor. The business or anything in the business has their value on their own. The future value factor is used to calculate the future value of the amount per dollar of its present value. It is the amount greater than a dollar and you can see this on the table when you calculate the future value or FV. Present Value factor is based on the time and money when you borrow or it is the debt that can grow in the span of time. 
5 0
3 years ago
The following information is taken from the production budget for the first quarter: Beginning inventory in units 1000 Sales bud
olga2289 [7]

Answer:

The correct answer is 408,000 units

Explanation:

Computing the finished goods units to be produced during quarter is as:

= Desire units - Beginning inventory units

where

Desire units is 3,000

Beginning inventory units is 1,000

So,

=3,000 units - 1,000 units

= 2,000 units

Now, computing the finished goods units as:

Finished goods units = 2,000 units + Sales budgeted for the quarter

Finished goods units = 2,000 units + 406,000 units

Finished goods units = 408,000 units

NOTE: It should be 408,000 not 40800.

7 0
3 years ago
Pharoah Warehouse distributes hardback books to retail stores and extends credit terms of 2/10, n/30 to all of its customers. Du
Alinara [238K]

Answer:

Pharoah Warehouse

Journal Entries:

June 1: Debit Inventory $2,490

Credit Accounts Payable (Catlin Publishers) $2,490

To record the purchase of inventory on account, terms 2/10, n/30.

June 3: Debit Accounts Receivable (Garfunkel Bookstore) $1,300

Credit Sales Revenue $1,300

To record the sale of goods on account with usual credit terms.

Debit Cost of Goods Sold $900

Credit Inventory $900

To record the cost of goods sold.

June 6: Debit Accounts Payable (Catlin Publishers) $90

Credit Inventory $90

To record the return of inventory.

June 9: Debit Accounts Payable (Catlin Publishers) $2,400

Credit Cash $2,352

Credit Cash Discount $48

To record the payment on account.

June 15: Debit Cash $1,300

Credit Accounts Receivable (Garfunkel Bookstore) $1,300

To record the cash collection on account.

June 17: Debit Accounts Receivable (Bell Tower) $1,700

Credit Sales Revenue $1,700

To record the sale of goods on account.

Debit Cost of Goods Sold $800

Credit Inventory $800

To record the cost of goods sold.

June 20: Debit Inventory $800

Credit Accounts Payable (Priceless Book Publishers) $800

To record the purchase of goods on account, terms 2/15, n/30.

June 24: Debit Cash $1,666

Debit Cash Discounts $34

Credit Accounts Receivable (Bell Tower) $1,700

To record the collection of cash on account.

June 26: Debit Accounts Payable (Priceless Book Publishers) $800

Credit Cash $784

Credit Cash Discounts $16

To record payment on account.

June 28: Debit Accounts Receivable (General Bookstore) $2,650

Credit Sales Revenue $2,650

To record the sale of goods on account.

Debit Cost of Goods Sold $850

Credit Inventory $850

To record the cost of goods sold.

June 30: Debit Sales Returns $260

Credit Accounts Receivable (General Bookstore) $260

To record sales returns on account.

Debit Inventory $90

Credit Cost of Goods Sold $90

To record the cost of goods returned by a customer.

Explanation:

a) Data and Analysis:

Credit terms to all customers = 2/10, n/30.  This means that 2% discount is granted to customers who pay within 10 days.  Customers are expected to settle their accounts within 30 days after which, interest is charged on their accounts.

b) June 1: Inventory $2,490 Accounts Payable (Catlin Publishers) $2,490,  terms 2/10, n/30.

June 3: Accounts Receivable (Garfunkel Bookstore) $1,300 Sales Revenue $1,300

Cost of Goods Sold $900 Inventory $900

June 6: Accounts Payable (Catlin Publishers) $90 Inventory $90

June 9: Accounts Payable (Catlin Publishers) $2,400 Cash $2,352 Cash Discount $48

June 15: Cash $1,300 Accounts Receivable (Garfunkel Bookstore) $1,300

June 17: Accounts Receivable (Bell Tower) $1,700 Sales Revenue $1,700

Cost of Goods Sold $800 Inventory $800

June 20: Inventory $800 Accounts Payable (Priceless Book Publishers) $800, terms 2/15, n/30.

June 24: Cash $1,666 Cash Discounts $34 Accounts Receivable (Bell Tower) $1,700

June 26: Accounts Payable (Priceless Book Publishers) $800 Cash $784 Cash Discounts $16

June 28: Accounts Receivable (General Bookstore) $2,650 Sales Revenue $2,650

Cost of Goods Sold $850 Inventory $850

June 30: Sales Returns $260 Accounts Receivable (General Bookstore) $260

Inventory $90 Cost of Goods Sold $90

6 0
3 years ago
Other questions:
  • In a flexible budget, when the activity declines, the total variable cost also declines.
    10·1 answer
  • Marketing is considered both an art and a science. how do the 4ps, or marketing mix, help us bridge the gap between art and scie
    13·1 answer
  • In comparison with a financial statement prepared in conformity with generally accepted accounting principles, a managerial acco
    9·1 answer
  • An aircraft factory manufactures airplane engines. The unit cost (the cost in dollars to make each airplane engine) depends on t
    7·1 answer
  • Access Organics, Inc., hired Andy Hernandez to sell organic produce. Later, Hernandez signed an agreement not to compete with Ac
    10·2 answers
  • BCD Partnership plans to distribute cash of $20,000 to partner Brad at the end of the taxyear. BCD reported a loss for the year,
    15·1 answer
  • 18.On January 1, 2016, the Accounts Receivable and the Allowance for Uncollectible Accounts for Darius Company carried balances
    6·1 answer
  • One reads the following in a newspaper: "Today the president and Congress agreed to impose new restrictive quotas on Japanese ca
    9·1 answer
  • Find the accumulated value of $ 740 at the end of 7 years using a nominal annual rate of interest of 6 % compounded quarterly.
    6·1 answer
  • You were thrilled when your employer named you the new Southeast Asia manager and put you in charge of setting up the organizati
    6·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!