Cash collected from current month's sales

2. 40%
4. Cash collected from last month's sales
6. 55%
8. Uncollectible sales
10. 5%
12. 
    
14. 100%
16. 
    
18. 
    
20. The expected credit sales of the second quarter are:
22. 
    
24. April
26. $400,000
28. May
30. 450,000
32. June
34. 500,000
36. How much cash will be collected in May?
38. 360,000
40. 420,000
42. 400,000
44. 480,000

5 points

QUESTION 2

2. The difference between the Master Budget and Flexible budget is primarily:
4. No difference
6. Change in quantities and price of units sold
8. Change in quantities sold
10. Change in quantities, price and variable costs of units sold

5 points

QUESTION 3

2. A company has two service departments (S1 and S2) and two manufacturing divisions (M1 and M2). The following information is available.
4. 
   
6. 
   
8. 
   
10. Percent Allocable to
12. Costs Incurred
14. ServiceDepartment
16. S1
18. S2
20. M1
22. M2
24. 
    
26. $290,000
28. S1
30. -
32. 20%
34. 30%
36. 50%
38. 
    
40. 500,000
42. S2
44. 50%
46. -
48. 20%
50. 30%
52. 
    
54. 
    
56. Show how much costs will be Allocated to M1 and M2 using :
58. 1. Prepare the Distribution of Costs using the Direct Method
60. 2. Prepare the Distribution of Costs using the Step Method
62. 3. Prepare the Dsitribution of Costs using the Reciprocal Method
64. SHOW ALL WORK - ANSWERS ONLY WILL GIVEN MINIMAL CREDIT
66. For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac).
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15 points

QUESTION 4

2. The Production Budget is
4. A statement of cash on hand at the start of the budget period, expected cash receipts, expected cash disbursements, and the resulting cash balance at the end of the budget period
6. A company's broad objectives established by management thatemployees work to achieve
8. The production plan of resources needed to meet current sales demand and ensure that inventory levels are sufficient for future sales.
10. A detail of Managements expected Sales Forecast and sales price per unit to determine expected total revenue

5 points

QUESTION 5

2. The sales activity variance is:
4. The variance between the Actual results and the Flexible Budget
6. The variance between the Master Budget and the Actual Results
8. The variance between the Flexible Budget and the Master Budget
10. The diference between the Sales last year and Sales this year

5 points

QUESTION 6

2. What is the primary differences in budgeting for a service organization versus a manufacturing organization?
4. The Manufacturing organization does not require a materials budget
6. The Service organization includes a purchases budget
8. The Services organization does not require a materials budget
10. The Manufacturing organization includes a purchases budget

5 points

QUESTION 7

2. Jim is preparing the production budget for his company. He estimates that 21,000 units have to be produced to meet the sales forecast of 18,000 units and the desired ending inventory of 4,000 units. How many units should be in the beginning inventory?
4.  

5 points

QUESTION 8

2. With a planned volume of 15,000 units, the master budget includes variable costs of $450,000 and fixed costs of $350,000. If the actual volume is 12,000 units, what is the amount of the total costs in the flexible budget?
4.  

5 points

QUESTION 9

2. A production budget is:
4. a plan of materials required to meet the forecasted product demand
6. a plan of sales in units expected as derived by the marketing and sales team
8. a plan of resources needed to meet current sales demand and ensure that inventory levels are sufficient for future sales.
10. a plan of all indirect costs required to fulfill the manufacturing requirements of the period

5 points

QUESTION 10

2. For next year, 21,000 units of finished goods have to be produced, each requiring 1.5 hours of labor. The prevailing hourly rate is expected to be $12 per hour. What is the direct labor cost for next year?
4.  

5 points

QUESTION 11

2. A joint production process that cost $240,000 generated two main products. P1 has 15,000 units and can be sold at the split-off point for $300,000. P2 has 25,000 units and can be sold at the split-off point for $200,000. A by-product can be sold for $30,000.
6. 1. Using Net Realizable Value Method - How much of joint costs are allocated to P1 and P2?
8. 2. Using physical quantities method - How much of joint costs are allocated to P1 and P2?
10. 3.If the sale value of the byproduct is applied as cost to the byproduct, what is the redistribution of Cost allocated to P1 & P2 using NRV
12. For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac).
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15 points

QUESTION 12

2. Actual results
4. 
   
6. Budget data
8. 
   
10. 
    
12. 
    
14. 
    
16. 
    
18. 20,000 units produced and sold
20. 
    
22. 19,000 units planned
24. 
    
26. 
    
28. 
    
30. 
    
32. 
    
34. Direct materials: 62,300 units of input purchased and used @ $29 per input unit
36. $1,806,700
38. Direct materials: 3 units of input allowed per output unit @ $30 per input unit
40. $90
42. 
    
44. 
    
46. 
    
48. 
    
50. Direct labor: 51,500 hours used per output unit @ $21.50 per hour
52. 1,107,250
54. Direct labor: 2.5 hours of input allowed per output unit @ $20 per hour
56. 50
60. For the above data provide (with work shown)
62. 1. Material Price Variance?
64. 2. Materials Total Cost Variance?
66. 3. Labor Price Variance?
68. 4. Labor Efficiency Variance?
70. For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac).
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15 points

QUESTION 13

2. Sensitivity Analysis is
4. a financial model used to show various scenarios, most usually a worst and best case scenario for variables involved
6. a brainstorming session where senior management discusses the reasons for variances between planned and actual
8. the set plan for the coming year, which is more specific than long-range plans
10. the actual results of the fiscal period

5 points

QUESTION 14

2. For next year, 21,000 units of finished goods have to be produced, each consuming 3 units of materials at $6. The expected beginning and ending materials inventories are 8,000 units and 12,000 units, respectively. How much is expected to be spent for materials purchases next year?
4.