Question

Enter a formula into each of the cells marked with a ? below

Chapter 8: Applying Excel Data Year 2 Quarter Year 3 Quarter Budgeted unit sales 40,000 60,000 100,000 50,000 70,000 80,000 $8 . Selling price per unit • Accounts receivable, beginning balance - Sales collected in the quarter sales are made Sales collected in the quarter after sales are made 1. Desired ending finished goods inventory is 2. Finished goods inventory, beginning 3Raw materials required to produce one unit 7. Desired ending inventory of raw materials is 5. Raw materials inventory, beginning 5. Raw material costs 7. Raw materials purchases are paid 3 and Accounts payable for raw materials, beginning balance $65,000 75% 25% 30% of the budgeted unit sales of the next quarter 12,000 units 5 pounds 10% of the next quarter's production needs 23,000 pounds $0.80 per pound 60% in the quarter the purchases are made 40% in the quarter following purchase $81,500 1 Enter a formula into each of the cells marked with a ? below 2 Review Problem: Budget Schedules 7 Construct the sales budget Year 2 Quarter Year 3 Quarter 5 Budgeted unit sales 7 Selling price per unit 3 Total sales ? ? ? ? ? ? ? ? ? ? ? ? ? ? ? Construct the schedule of expected cash collections Year 2 Quarter

Answer 1

Year 3 Quarter 1 Sales Budget Req 1 Budgeted Unit Sales Selling price per unit Total sales Year 2 Quarter 2 =C5 =D5 =$B$7 =$B$7 =C26*C27 =D26*D27 =B5 =$B$7 =B26*B27 =E5 =$B$7 =F5 =$B$7 =F26*F27 =G5 =$B$7 =G26*G27 =E26*E27 Schedule of cash collections Req 2 =A8 First quarter sales Second quarter sales Third quarter sales Fourth quarter sales Total cash collections Year 2 Quarter 3 Year =B8 =SUM(B32:E32) =B28*B9 =B28*B10 =SUM(B33:E33) =C28*B9 =C28*B10 =SUM(B34:E34) =D28*B9 =D28*B10 =SUM(B35:E35) =E28*B9 =SUM(B36:E36) =SUM(B32:B36) =SUM(C32:C36) =SUM(D32:D36) =SUM(E32:E36) =SUM(F32:F36) Year 2 Quarter Year Year 3 Quarter 2 =G5 Production budget Req3 Budgeted Unit Sales Add desired Ending Finished goods Inventory Total needs Less Beginning Finished goods Inventory Required Production in Units =B5 =C5 =D5 =E5 =SUM(B41:E41) =F5 =C41*$B$11 =D41*$B$11 =E41*$B$11 =G41*$B$11 =E42 =H41*$B$11 =SUM(B41:B42) SUM(C41:C42) =SUM(D41:042) =SUM(E41:E42) =SUM(F41:F42) =SUM(G41:642) =B12 =B42 =C42 =D42 =B44 =E42 =B43-B44 =C43-C44 =D43-D44 =E43-E44 =F43-F44 =G43-444 Year Year 3 Quarter Raw Materials budget Req4 Required Production (Units) =A13 Production needs (Pounds) Add desired Ending raw mtls Inventory (pounds) Total needs (Pounds) Less Beginning raw mtls Inventory (pounds) Raw Material to be purchased (pounds) Cost of Raw Material per unit Cost of Raw Material to be purchased =B45 =$B$13 =B49*B50 =C51*$B$14 =B51+B52 =B15 =B53-B54 =$B$16 =B55*B56 Year 2 Quarter 2 =C45 =D45 =$B$13 =$B$13 =C49*C50 =D49*D50 =D51*$B$14 =E51*$B$14 =C51+C52 =D51+052 =B52 =C52 =C53-C54 =D53-D54 =$B$16 =$B$16 =C55*C56 =D55*D56 =E45 =$B$13 =E49*E50 =G51*$B$14 =E51+E52 =D52 =E53-E54 =$B$16 =E55*E56 ESUM(B49:E49) =G45 =$B$13 =$B$13 =F49*F50 =G49*650 =E52 =F51+F52 =B54 =F53-F54 =$B$16 =F55*F56 Schedule of cash payments Req5 =A19 First quarter sales Second quarter sales Third quarter sales Fourth quarter sales Total cash collections Year 2 Quarter 2 Year =B19 =SUM(B61:E61) =B57*B17 =B57*B18 =SUM(B62:E62) =C57*B17 =C57*B18 =SUM(B63:E63) =D57*B17 =D57*B18 =SUM(B64:E64) =E57*B17 =SUM(B65:E65) =SUM(B61:B65) =SUM(C61:C65) =SUM(D61:D65) =SUM(E61:E65) =SUM(F61:F65)

Year 2 Quarter Year 3 Quarter 2 3 2 Sales Budget Req 1 Budgeted Unit Sales Selling price per unit Total sales 4 50,000 40,000 60,000 100,000 70,000 80,000 320,000 480,000 800,000 400,000 560,000 640,000 Schedule of cash collections Year 2 Quarter 2 3 Req2 65,000 240,000 80,000 360,000 Accounts receivable, beginning balance First quarter sales Second quarter sales Third quarter sales Fourth quarter sales Total cash collections 120,000 600,000 Year 65,000 320,000 480,000 800,000 300,000 1,965,000 200,000 300,000 500,000 305,000 440,000 720,000 Year Production budget Req3 Budgeted Unit Sales Add desired Ending Finished goods Inventory Total needs Less Beginning Finished goods Inventory Required Production in Units 40,000 18,000 58,000 12,000 46,000 Year 2 Quarter 2 3 60,000 100,000 30,000 15,000 90,000 115,000 18,000 30,000 72,000 85,000 4 50,000 21,000 71,000 15,000 56,000 250,000 21,000 271,000 12,000 259,000 Year 3 Quarter 1 2 70,000 80,000 24,000 94,000 21,000 73,000 Year Year 3 Quarter 46,000 73,000 5 365,000 Raw Materials budget Req4 Required Production (Units) Raw materials reqd to producce one unit Production needs (Pounds) Add desired Ending raw mtls Inventory (pounds) Total needs (Pounds) Less Beginning raw mtls Inventory (pounds) Raw Material to be purchased (pounds) Cost of Raw Material per unit Cost of Raw Material to be purchased 230,000 36,000 266,000 23,000 243,000 0.80 194,400 Year 2 Quarter 2 3 72,000 85,000 5 360,000 425,000 42,500 28,000 402,500 453,000 36,000 42,500 366,500 410,500 0.80 0.80 293,200 328,400 56,000 5 280,000 36,500 316,500 28,000 288,500 0.80 230,800 259,000 5 1,295,000 36,500 1,331,500 23,000 1,308,500 0.80 1,046,800 Year 2 Quarter 2 3 81,500 116,640 Schedule of cash payments Req5 Accounts payable, beginning balance First quarter sales Second quarter sales Third quarter sales Fourth quarter sales Total cash collections 77,760 175,920 117,280 197,040 Year 81,500 194,400 293,200 328,400 138,480 1,035,980 131,360 138,480 269,840 198,140 253,680 314,320