Question

ning Objective 3 Problems Group A manufacturing 7 rials, die coduction, direct materials, di -39A Preparing bats COGS 560,690 3. POHRS labor, overhead, COGS, and S&A ep luber Batting Company manufactures wo Huber sells the bats to The Huber Batting Compar primary products al adult bat, designed Sporting goods stores, and all adult bat sells for $65. Hu the year as retailer ing an operating budget-sales, product A, COGS, and S&A expense budgets wood baseball bats. Huber's two Products are a youth hardesigned for children and young teens, and designed for high school and college aged players. Huber sells the Boods stores and all sales are on account. The youth but sells for $35 sells for $65) Huber's bieber sales volume is in the first three months as retailers prepare for the spring baseball season. Huber's balance sheet December 31, 2016, follows: HUBER BATTING COMPANY Balance Sheet December 31, 2016 Assets $ 65,810 95.000 Current Assets: $ 15,000 21,600 Accounts Receivable Raw Materials Inventory 12,000 17.210 Finished Goods Inventory Total Current Assets Property, plant, and Equipment Equipment 115,000 Less: Accumulated Depreciation (20,000) Total Assets Liabilities Current Liabilities: Accounts Payable Stockholders' Equity Common Stock, no par 5 130,000 Retained Earnings 20,310 Total Stockholders' Equity Total Liabilities and Stockholders' Equity $ 160,810 $ 10,500 150,310 $ 160,810 Other data for Huber Batting Company for the first quarter of 2017: Budgeted sales are 1.300 youth bats and 3.100 adult bars. Finished Goods Inventory on December 31 consists of 650 youth bars at $17 and 440 adult bats at $14 each Desired ending Finished Goods Inventory is 100 youth bars and 550 adult baba FIFO inventory costing method is used. per d. Direct materials cost is 3,20 X materials cost is 57 per youth bat and 9 per adult bat. Desired ending Raw Materials Inventory is $12.000 (indirect materials are cant and not considered for budgeting purposes). per c. Desired endir

Answer 1

Please hit LIKE button if this helped. For any further explanation, please put your query in comment, will get back to you. Part 1 Sales Budget Budgeted units sale Budgeted Selling price Budgeted Quarter Sale Youth Bat Adult Bat Total 1,300 3,100 4,400 $ 35 $ 65 $ 45,500 $ 201,500 $ 247,000 Part 2. Production Budget Budgeted bats to be sold Add: Desired Ending Inventory Total Need Less: Beginning Inventory Budgeted Bats to be produced Youth Bat Adult Bat Total 1,300 3,100 100 550 1400 3650 -650 -440 750 3210 4400 650 5050 -1090 3960 Part 3a. Direct Material Cost Total 3,960 Youth Bat Adult Bat 750 3,210 $ 7.00 $ 9.00 5,250 28,890 Budgeted Bats to be be produced Material Cost per bat Total Material needed for production Add: Desired Ending Inventory Total Need Less: Beginning Inventory Budgeted Purchase of Bates in Dollars $ 34,140 12,000 46,140 12,000 34,140 $ $ Part 3b. Direct Labor Cost 0.5 Budgeted Bats to be be produced Labor Hours Needed per bat Total Labor hours needed for production Labor Cost per Hour Direct Labor Cost Youth Bat Adult Bat Total 750 3,210 0.5 375 1,605 $ 15 $ 15 $ $ 5,625 $ 24,075 $ 3,960 0.5 1,980 15 29,700 Part 3c. Manufacturing Overhead Budget Youth Bat Adult Bat Total 750 3210 $ 0.50 $ 0.50 $ $ 375 $ 1,605 $ 3960 0.50 1,980 Budgeted Bats to be produced Variable Overhead per Bat Budgeted Variable Overhead Budgeted Fixed Overhead: Depreciation Other Cost Total Budgeted Fixed Overhead Total Budgeted Overhead Direct Labor Hours Predetermined Overhead Rate $ $ $ 600 13,200 13,800 15,780 1,980 7.97

Part 4 Cost of goods sold Budget Per unit cost: 0.5 Hours*$15 0.5 Hours*$$7.97 Direct Labor Cost per unit Manufacturing Overhead Cost per unit Direct Material Cost per unit Total Projected manufacturing Cost Youth Bat Adult Bat $ 7.50 $ 7.50 $ 3.99 $ 3.99 $ 7.00 $ 9.00 $ 18.49 $ 20.49 $ $ $ $ 12,000 34,140 46,140 12,000 Beginning Material Inventory Add: Purchases Total Inventory available Less: Ending Inventory Direct Material Cost Direct Labor Cost Manufacturing Overheads Total Cost of goods manufactured Add: Beginning Finished goods inventory Goods available for sale Less: Ending finished goods inventory Cost of goods sold $ $ $ $ $ $ $ $ 34,140 29,700 15,780 79,620 17,210 96,830 -13,119 83,712 (100*$18.49)+(550*$20.49) Part 5 Selling and Admin Budget Budgeted Sale Variabl Selling and Admin Expense Budgeted Variable Overhead Budgeted Fixed S&A Expense: Salaries Youth Bat Adult Bat Total $ 45,500 $ 201,500 $ 247,000 3% 3% 3% $ 1,365 $ 6,045 $ 7,410 Rent $ $ 14,000 3,000 2,000 300 Insurance Depreciation Total Budgeted Fixed S&A Total Budgeted S&A $ $ 19,300 26,710