The Giseppe Tire Company manufactures racing tires for bicycles. sells tires for $80 each. Giseppe is planning for the next year by developing a master budget by quarters. balance sheet for follows
Requirements:
1.Prepare Giseppe'operating budget and cash budget for 2019 by quarter. Required schedules and budgets include: sales budget, production budget, direct materials budget, direct labor budget, manufacturing overhead budget, cost of goods sold budget, selling and administrative expense budget, schedule of cash receipts, schedule of cash payments, and cash budget. Manufacturing overhead costs are allocated based on direct labor hours. Round all calculations to the nearest dollar.
2.Prepare Giseppe's annual financial budget for 2019, including budgeted income statement and budgeted balance sheet.
Homework Answers
| Please give positive ratings so I can keep answering. It would help me a lot. Please comment if you have any query. Thanks! |
| As per HOMEWORKLIB POLICY I can only solve first six questions so I have not prepared income statement and Balance Sheet. Thanks! |
|
Due to character limit I am attaching the image from cost of goods sold. You have not provdided adjustments after 'L'. Please provide in comments so I can give full answer. |
| Giseppe | ||||||
| Sales Budget | Qtr. 1 | Qtr. 2 | Qtr. 3 | Qtr. 4 | Total | Note |
| Budgeted sales (Units) | 1,400.00 | 1,500.00 | 1,600.00 | 1,700.00 | 6,200.00 | A |
| Sell price | 80.00 | 80.00 | 80.00 | 80.00 | B | |
| Budgeted sales ($) | 112,000.00 | 120,000.00 | 128,000.00 | 136,000.00 | 496,000.00 | C=A*B |
| Cash Sales at 20% | 22,400.00 | 24,000.00 | 25,600.00 | 27,200.00 | 99,200.00 | D=C*20% |
| Credit Sales at 80% | 89,600.00 | 96,000.00 | 102,400.00 | 108,800.00 | 396,800.00 | E=C*80% |
| Production Budget | Qtr. 1 | Qtr. 2 | Qtr. 3 | Qtr. 4 | Total | Qtr. 1 | Note |
| Budgeted sales (Units) | 1,400.00 | 1,500.00 | 1,600.00 | 1,700.00 | 6,200.00 | 1,800.00 | See A |
| Add: Closing | 450.00 | 480.00 | 510.00 | 540.00 | 540.00 | F=30% of A of next month. | |
| Less: Opening | 400.00 | 450.00 | 480.00 | 510.00 | 400.00 | G=30% of A of same month. For Quarter 1 its given in the problem. | |
| Production Budget | 1,450.00 | 1,530.00 | 1,630.00 | 1,730.00 | 6,340.00 | H |
| Direct Material Budget | Qtr. 1 | Qtr. 2 | Qtr. 3 | Qtr. 4 | Total | Note |
| Production Budget | 1,450.00 | 1,530.00 | 1,630.00 | 1,730.00 | 6,340.00 | See H |
| Material required per unit | 2.00 | 2.00 | 2.00 | 2.00 | I | |
| Material Usage Budget | 2,900.00 | 3,060.00 | 3,260.00 | 3,460.00 | 12,680.00 | J=H*I |
| Add: Closing | 306.00 | 326.00 | 346.00 | 800.00 | 800.00 | F=10% of J of next month. |
| Less: Opening | 800.00 | 306.00 | 326.00 | 346.00 | 800.00 | L=10% of J of same month. For Quarter 1 and 4 its given in the problem. |
| Material Purchase Budget (Pound) | 2,406.00 | 3,080.00 | 3,280.00 | 3,914.00 | 12,680.00 | M |
| Cost per pound | 5.00 | 5.00 | 5.00 | 5.00 | N | |
| Material Purchase Budget ($) | 12,030.00 | 15,400.00 | 16,400.00 | 19,570.00 | 63,400.00 | O=M*N |
| Direct Labor Budget | Qtr. 1 | Qtr. 2 | Qtr. 3 | Qtr. 4 | Total | |
| Production Budget | 1,450.00 | 1,530.00 | 1,630.00 | 1,730.00 | 6,340.00 | See H |
| Labor Hour required per unit | 0.50 | 0.50 | 0.50 | 0.50 | Q | |
| Labor Hour required | 725.00 | 765.00 | 815.00 | 865.00 | 3,170.00 | R=H*Q |
| Cost per Hour | 10.00 | 10.00 | 10.00 | 10.00 | S | |
| Direct Labor Budget | 7,250.00 | 7,650.00 | 8,150.00 | 8,650.00 | 31,700.00 | T=R*S |
| Manufacturing overhead Budget | ||||||
| Variable manufacturing overhead Budget | Qtr. 1 | Qtr. 2 | Qtr. 3 | Qtr. 4 | Total | |
| Production Budget |
Know the answer?
Add Answer to:
|
The Gerard Tire Company manufactures racing tires for bicycles.
Gerard sells tires for $90 each. Gerard is planning for the next
year by developing a master budget by quarters. Gerard’s balance
sheet for December 31, 2018, follows:
Other data for Gerard Tire Company:
Budgeted sales are 1,500 tires for the first quarter and
expected to increase by 200 tires per quarter. Cash sales are
expected to be 10% of total sales, with the remaining 90% of sales
on account.
Finished...
The Gerard Tire Company manufactures racing tires for bicycles.
Gerard sells tires for $90 each. Gerard is planning for the next
year by developing a master budget by quarters. Gerard’s balance
sheet for December 31, 2018, follows:
Other data for Gerard Tire Company:
Budgeted sales are 1,500 tires for the first quarter and
expected to increase by 200 tires per quarter. Cash sales are
expected to be 10% of total sales, with the remaining 90% of sales
on account.
Finished...
The Grady Tire Company manufactures racing tires for bicycles. Grady sells tires for $70 each. Grady is Other data for Grady Tire Com planning for the next year by developing a master budget by quarters. Grady's balance sheet for (Click the icon to view the December 31, 2018, follows: B (Click the icon to view the balance sheet.) Read the requirements Selling and Administrative Expense Budget For the Year Ended December 31, 2019 First Second Third Fourth Quarter Quarter Quarter...
The Gridley Tire Company manufactures racing tires for bicycles. Gridley sells tires for $75 each Gridley is planning for the next year by developing a master budget by quarters. Gridley's balance sheet for December 31, 2018, follows (Click the icon to view the balance sheet) Other data for Gridley Tire Company i Clck he icon to view the other data) Read the repuiremens. Revew the sales budget you prepared above Cash Receipts from Customers Third First Second Fourth Quarter Quarter...
Balance Sheet December 31, 2018 Assets Current Assets: Cash Accounts Receivable Raw Materials Inventory 66,000 35,000 6,800 11.600 119,400 Finished Goods Inventory Total Current Assets Property, Plant, and Equipment: Equipment Less: Accumulated Depreciation 142,000 (106,000) 36,000 155,400 Total Assets Liabilities 5,000 Current Liabilities: Accounts Payable Stockholders' Equity Common Stock, no par $ Retained Earnings Total Stockholders' Equity 110,000 40,400 150,400 Total Liabilities and Stockholders' Equity $ 155,400 1. Prepare Gilder's operating budget and cash budget for 2019 by quarter. Required...
P22-41A (similar to) Question Help The Gavin Tre Comm and year by game Click the icon to view the o tires for bicycles Gavin a tres for a long for the budget by Quarters. Gavi's balance sheet for December 31, 2018 blows c h t ) Other data for Gavin The Company Center) ed schedules and budgets include but production budget direct material budget direct laborbut manufacturing overheads ts, schule of cash payments, and cash budget. Man g e d...
Other data for Grady Tire Company: Click the icon to view the other data.) Read the requirements The Grady Tire Company manufactures racing tires for bicycles. Grady sells tires for $70 each. Grady is planning for the next year by developing a master budget by quarters. Grady's balance sheet for December 31, 2018, follows: (Click the icon to view the balance sheet.) Grady Tire Company Direct Materials Budget For the Year Ended December 31, 2019 First Second Third Quarter Quarter...
Other data for Giseppe Tire Company: (Click the icon to view the other data.) The Giseppe Tire Company manufactures racing tires for bicycles. Giseppe sells tires for $80 each. Giseppe is planning for the next year by developing a master budget by quarters. Giseppe's balance sheet for December 31, 2018, follows: (Click the icon to view the balance sheet.) Read the requirements. Requirement 1. Prepare Giseppe's operating budget and cash budget for 2019 by quarter. Required schedules and budgets include:...
Other data for Grady Tire Compar (Click the icon to view the oth Read the requirements. The Grady Tire Company manufactures racing tires for bicycles. Grady sells tires for $70 each. Grady is planning for the next year by developing a master budget by quarters. Grady's balance sheet for December 31, 2018, follows: (Click the icon to view the balance sheet.) Review the direct labor budget you prepared above. Grady Tire Company Manufacturing Overhead Budget For the Year Ended December...
Other data for Grady Tir Click the icon to vie Read the requirements. The Grady Tire Company manufactures racing tires for bicycles. Grady sells tires for $70 each. Grady is planning for the next year by developing a master budget by quarters. Grady's balance sheet for December 31, 2018, follows: (Click the icon to view the balance sheet.) ruwy wewny Production Budget For the Year Ended December 31, 2019 First Second Third Fourth Quarter Quarter Quarter Budgeted tires to be...