Question

Budgotod unit sales 0,000 30,000 100,000 0,000 0,000 Sdlling price por un 8 por unit Accounts rocavable, boginning balanco 05,000 Sales collectod in the quartar sales are made 75% 29% 30% of the budgotod unit sales of the nxd quarto Sales collectod in the quartor afor salos are made Dosired anding inishod goods inventory is Finishod goods invanory, boining 2,000 units aw matorials roquirod to produce ane uni 5 pounds 10% of the nxt quartor's producion noods Desired anding inventory of raw materials Raw maorials inventory,boginning 23,000 pounds aw matarial costs 90.00 par pound 90% in te ganar te prchases are made 40% in tequanar following aw materials purchases are paid Accourts payable for raw morias, boginning bdlanoo 81,500 Entor a formula into oach of the colls marked with a ? bolow Review Problem: Budget Schedules Construct the sales budger Yoar 2 Ouarfer Yoar 3 Cuarfer Budgoted unit sdles Salling price per Tota salos Construct the schedule of expected cash collections Yoar 2Quarfer Yoar Accounts rocavable, boginning balanco First quartor sales Socand quartor sdles Third-quartor sales Fourth quartor sales Totl cash collocions Construct the production budger Yoar 2Quarfer Yoar 3 Cuarfer Yoar Budgoted unit sdles Add dosirod inishod gpods Tatal noods Less boginning Roquired production Construct the raw materials purchases budget Yoar 2 Ouarfer Yoar 3 Quartor Roquired production (units) aw matorials roquirod o produce ane Production neods (pounds Add dosirod anding invantory af raw matorias (pounds) Tatal noods (pounds Less boginning inventory of raw marias (pounda) aw matarials to be purchased Cost af raw materials por pound Cast af raw matorials to be purchasod Construct the schedule of expected cash payments Yoar 2Quarfer Accounts payable, boginning balance First quartor purchases Socand quartor purchases Third-quarter purchases Fourth quarter purchases Tatal cash disbursoments

Answer 1

SALES BUDGET
			Q1	Q2	Q3	Q4	Year	Q1	Q2
Budgeted Sales units			50,000	65,000	115,000	75,000	305,000	80,000	100,000
Selling price per unit			7	7	7	7	7	7	7
Total Sales			350,000	455,000	805,000	525,000	2,135,000	560,000	700,000
EXPECTED CASH COLLECTIONS
			Q1	Q2	Q3	Q4	Year
Acounts recievable beginning			65,000				65000
Q1 Sales			262,500	87500			350000
Q2 Sales				341250	113750		455000
Q3 Sales					603,750	201,250	805000
Q4 Sales						393,750	393750
Total Cash Collections			327,500	428,750	717,500	595,000	2068750
PRODUCTION BUDGET
			Q1	Q2	Q3	Q4	Year	Q1	Q2
Budgeted Sales Units			50,000	65,000	115,000	75,000	305,000	80,000	100,000
Add: Desired Ending Finished inventory			19,500	34,500	22,500	24,000	24,000	30,000
Total Needs			69,500	99,500	137,500	99,000	329,000	110,000
Less: Beginning Finished Inventory			12,000	19,500	34,500	22,500	12,000	24,000
Required Production in units			57,500	80,000	103,000	76,500	317,000	86,000
RAW MATERIAL PURCHASE BUDGET
			Q1	Q2	Q3	Q4	Year	Q1
Budgeted production units			57,500	80,000	103,000	76,500	317,000	86,000
RM required per unit			5	5	5	5	5	5
Tota RM required			287,500	400,000	515,000	382,500	1,585,000	430,000
Add: Desired Ending Inventory			40,000	51,500	38,250	43,000	43,000
Total needs			327,500	451,500	553,250	425,500	1,628,000
Less: Beginning Inventory			23,000	40,000	51,500	38,250	23,000
Purchase Units			304,500	411,500	501,750	387,250	1,605,000
Cost price per unit			0.80	0.80	0.80	0.80	0.80
Budgeted Purchase in $			243,600	329,200	401,400	309,800	1,284,000
EXPECTED CASH PAYMENTS
			Q1	Q2	Q3	Q4	Year
Beginning Accounts payable			81,500				81500
Q1 Purchasse			146160	97440			243600
Q2 Purchase				197520	131680		329200
Q3 Purchase					240840	160,560	401400
Q4 Purchase						185,880	185880
Total Cash disbursement			227,660	294,960	372,520	346,440	1,241,580
Expected cash collections:				2,068,750
Total Required production:				317,000
Total cost of RM purchased				1,284,000
Total exected cash disbursals				1,241,580