01.
Optima Company is a high-technology organization that produces a mass-storage system. The design of Optima's system is unique and represents a breakthrough in the industry. The units Optima produces combine positive features of both compact and hard disks. The company is completing its fifth year of operations and is preparing to build its master budget for the coming year (20X1). The budget will detail each quarter's activity and the activity for the year in total. The master budget will be based on the following information:
First quarter | 65,000 | ||
Second quarter | 70,000 | ||
Third quarter | 75,000 | ||
Fourth quarter | 90,000 |
First quarter | 13,000 units | ||
Second quarter | 15,000 units | ||
Third quarter | 20,000 units | ||
Fourth quarter | 10,000 units |
Assets | ||||
Cash | $ 250,000 | |||
Direct materials inventory | 5,256,000 | |||
Accounts receivable | 3,300,000 | |||
Plant and equipment, net | 33,500,000 | |||
Total assets | $42,306,000 |
Liabilities and Stockholders’ Equity | ||||
Accounts payable | $ 7,248,000* | |||
Capital stock | 27,000,000 | |||
Retained earnings | 8,058,000 | |||
Total liabilities and stockholders’ equity | $42,306,000 | |||
* For purchase of direct materials only. |
Required:
Prepare a master budget for Optima Company for each quarter of 20X1 and for the year in total. The following component budgets must be included:
1. Sales Budget (units and budgeted sales in thousands)
Optima Company | |||||
Sales Budget | |||||
For the Year Ending December 31, 20X1 | |||||
Qtr. 1 | Qtr. 2 | Qtr. 3 | Qtr. 4 | Total | |
Units | |||||
Unit price | $ | $ | $ | $ | $ |
Total sales | $ | $ | $ | $ | $ |
Optima Company | ||||||||||
Sales Budget | Calculation | |||||||||
Req 1 | Qtr. 1 | Qtr. 2 | Qtr. 3 | Qtr. 4 | Total | Qtr. 1 | Qtr. 2 | Qtr. 3 | Qtr. 4 | |
Units | 65,000 | 70,000 | 75,000 | 90,000 | 300,000 | |||||
Unit price | 400 | 400 | 400 | 400 | 400 | |||||
Total sales | 26,000,000 | 28,000,000 | 30,000,000 | 36,000,000 | 120,000,000 | =65,000*400 | =70,000*400 | =75,000*400 | =90,000*400 | |
01. Optima Company is a high-technology organization that produces a mass-storage system. The design of Optima's...
02. Understanding Relationships, Master Budget, Comprehensive Review Optima Company is a high-technology organization that produces a mass-storage system. The design of Optima's system is unique and represents a breakthrough in the industry. The units Optima produces combine positive features of both compact and hard disks. The company is completing its fifth year of operations and is preparing to build its master budget for the coming year (20X1). The budget will detail each quarter's activity and the activity for the year...
Optima Company is a high-technology organization that produces a
mass-storage system. The design of Optima's system is unique and
represents a breakthrough in the industry. The units Optima
produces combine positive features of both compact and hard disks.
The company is completing its fifth year of operations and is
preparing to build its master budget for the coming year (20X1).
The budget will detail each quarter's activity and the activity for
the year in total. The master budget will be...
Optima Company is a high-technology organisation that produces a mass-storage system. The design of Optima's system is unique and represents a breakthrough in the industry. The units Optima produces combine positive features of both compact and hard disks. The company is completing its fifth year of operations and is preparing to build its master budget for the coming year (2017). The budget will detail each quarter's activity and the activity for the year in total. The master budget will be...
Optima Company is a high-technology organization that produces a
mass-storage system. The design of Optima's system is unique and
represents a breakthrough in the industry. The units Optima
produces combine positive features of both compact and hard disks.
The company is completing its fifth year of operations and is
preparing to build its master budget for the coming year (20X1).
The budget will detail each quarter's activity and the activity for
the year in total. The master budget will be...
Problem 9-73 Understanding Relationships, Master Budget, Comprehensive Review Optima Company is a high-technology organization that produces a mass-storage system. The design of Optima's system is unique and represents a breakthrough in the industry. The units Optima produces combine positive features of both compact and hard disks. The company is completing its fifth year of operations and is preparing to build its master budget for the coming year (20X1). The budget will detail each quarter's activity and the activity for the year...
11. Understanding Relationships, Master Budget, Comprehensive Review Optima Company is a high-technology organization that produces a mass-storage system. The design of Optima's system is unique and represents a breakthrough in the industry. The units Optima produces combine positive features of both compact and hard disks. The company is completing its fifth year of operations and is preparing to build its master budget for the coming year (20X1). The budget will detail each quarter's activity and the activity for the year...
9. If more information is required please be specific in what is needed. Understanding Relationships, Master Budget, Comprehensive Review Optima Company is a high-technology organization that produces a mass-storage system. The design of Optima's system is unique and represents a breakthrough in the industry. The units Optima produces combine positive features of both compact and hard disks. The company is completing its fifth year of operations and is preparing to build its master budget for the coming year (20X1). The...
Having issues with 9,10,11
Problem 9-73 Understanding Relationships, Master Budget, Comprehensive Review Optima Company is a high-technology organization that produces a mass-storage system. The design of Optima's system is unique and represents a breakthrough in the industry. The units Optima produces combine positive features of both compact and hard disks. The company is completing its fifth year of operations and is preparing to build its master budget for the coming year (20X1). The budget will detail each quarter's activity and...
Having issues with 6,7,and 8
Problem 9-73 Understanding Relationships, Master Budget, Comprehensive Review Optima Company is a high-technology organization that produces a mass-storage system. The design of Optima's system is unique and represents a breakthrough in the industry. The units Optima produces combine positive features of both compact and hard disks. The company is completing its fifth year of operations and is preparing to build its master budget for the coming year (20X1). The budget will detail each quarter's activity...
having issues with 9,10,11
Problem 9-73 Understanding Relationships, Master Budget, Comprehensive Review Optima Company is a high-technology organization that produces a mass-storage system. The design of Optima's system is unique and represents a breakthrough in the industry. The units Optima produces combine positive features of both compact and hard disks. The company is completing its fifth year of operations and is preparing to build its master budget for the coming year (20X1). The budget will detail each quarter's activity and...