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Roman55 [17]
4 years ago
5

Exercise 20-6 Manufacturing: Direct materials budget LO P1 Rida, Inc., a manufacturer in a seasonal industry, is preparing its d

irect materials budget for the second quarter. It plans production of 240,000 units in the second quarter and 277,500 units in the third quarter. Raw material inventory is 67,500 pounds at the beginning of the second quarter. Other information follows: Direct materials Each unit requires 0.40 pounds of a key raw material, priced at $190 per pound. The company plans to end each quarter with an ending inventory of materials equal to 50% of next quarter’s budgeted materials requirements. Prepare a direct materials budget for the second quarter.
Business
1 answer:
S_A_V [24]4 years ago
6 0

Answer:

$15,960,000

Explanation:

Material needed for production:

= Units to be produced × Material required per unit

= 240,000 units × 0.40

= 96,000

Budgeted Ending Inventory:

= Units to be produced in third quarter × Material required per unit × 50%

= 277,500 units × 0.40 pounds × 50%

= 55,500

Total material requirements:

= Material needed for production + Budgeted Ending Inventory

= 96,000 + 55,500

= 151,500

Materials to be purchased:

= Total material requirements - Beginning Inventory

= 151,500 - 67,500

= 84,000

Therefore,

Budgeted Cost of Direct material purchases for the second quarter:

= Materials to be purchased × Material Price per pound

= 84,000 × $190

= $15,960,000

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Answer:

The number of equivalent units using the weighted-average method is 185,000.

Explanation:

Determine the number of units completed and transferred out.

Number of units  completed and  transferred out  = Units in beginning

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​  

Therefore, the number of units completed and transferred out is 145,000 units.

It is given that the beginning units completed is 35,000, and the units started and completed are 110,000. They are added to calculate the number of units completed and transferred out. Therefore, the number of units completed and transferred out is 145,000 units.

----

Determine the number of equivalent units using the weighted-average method.

Equivalent units =  Number of units completed and transferred out +  Additional units in process  ×Percentagecompleted

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3 years ago
In a _____________________ contract, a family worked a small part of a large farm in exchange for part of the crop.
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In a tenancy contract, a family worked a small part of a large farm in exchange for part of the crop.

<h3>What is a tenancy contract?</h3>

Tenancy agreement or rental contract is a legally enforceable agreement that grants the renter use of a property for a specific usage and time period. The agreement outlines every aspect of the lease as well as the standards and expectations that were mutually agreed upon by the parties.

A lease, which is more common for a fixed time, is different from a rental agreement, which is a contract of the rental between the owner of a property and a renter who wants to have temporary possession of the property. Rental agreements are typically written.

An arrangement between you and a landlord is known as a tenancy agreement. As long as you pay rent and abide by the rules, you are permitted to occupy a property. It also outlines the tenancy's legal terms and restrictions.

A tenancy agreement is regarded as a periodic lease in the business world, with a one-month notice period for termination available to either the landlord or the tenant.

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They are marketing strategies used by companies to highlight a product about similar offers in the market.

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It is important that the company is clear about the principle of this type of strategy, since achieving being different is not the objective, the particularity is being relevant and achieving consumer preference, that is, it is not enough to be different from the others, that difference must be followed by a benefit that the client supposes important and effective.

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