Pearl Products Limited of Shenzhen, China, manufactures and distributes toys throughout South East Asia. Three cubic...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Pearl Products Limited of Shenzhen, China, manufactures and distributes toys throughout South East Asia. Three cubic centimeters (cc) of solvent H300 are required to manufacture each unit of Supermix, one of the company's products. The company is planning its raw materials needs for the third quarter, the quarter in which peak sales of Supermix occur. To keep production and sales moving smoothly, the company has the following inventory requirements: a. The finished goods inventory on hand at the end of each month must equal 3,000 units of Supermix plus 25% of the next month's sales. The finished goods inventory on June 30 is budgeted to be 16,250 units. b. The raw materials inventory on hand at the end of each month must equal one-half of the following month's production needs for raw materials. The raw materials inventory on June 30 is budgeted to be 81,375 cc of solvent H300. c. The company maintains no work in process inventories. A monthly sales budget for Supermix for the third and fourth quarters of the year follows. July Budgeted Unit Sales 53,000 August 58,000 September 68,000 October 48,000 November 38,000 December 28,000 Required: 1. Prepare a production budget for Supermix for the months July, August, September, and October. 3. Prepare a direct materials budget showing the quantity of solvent H300 to be purchased for July, August, and September, and for the quarter in total. Complete this question by entering your answers in the tabs below. Required 1 Required 3 Prepare a production budget for Supermix for the months July, August, September, and October. Budgeted unit sales Total needs Pearl Products Limited Production Budget July August September October Required production in units < Required 1 Required 3 > Pearl Products Limited of Shenzhen, China, manufactures and distributes toys throughout South East Asia. Three cubic centimeters (cc) of solvent H300 are required to manufacture each unit of Supermix, one of the company's products. The company is planning its raw materials needs for the third quarter, the quarter in which peak sales of Supermix occur. To keep production and sales moving smoothly, the company has the following inventory requirements: a. The finished goods inventory on hand at the end of each month must equal 3,000 units of Supermix plus 25% of the next month's sales. The finished goods inventory on June 30 is budgeted to be 16,250 units. b. The raw materials inventory on hand at the end of each month must equal one-half of the following month's production needs for raw materials. The raw materials inventory on June 30 is budgeted to be 81,375 cc of solvent H300. c. The company maintains no work in process inventories. A monthly sales budget for Supermix for the third and fourth quarters of the year follows. July Budgeted Unit Sales 53,000 August 58,000 September 68,000 October 48,000 November 38,000 December 28,000 Required: 1. Prepare a production budget for Supermix for the months July, August, September, and October. 3. Prepare a direct materials budget showing the quantity of solvent H300 to be purchased for July, August, and September, and for the quarter in total. Complete this question by entering your answers in the tabs below. Required 1 Required 3 Prepare a production budget for Supermix for the months July, August, September, and October. Budgeted unit sales Total needs Pearl Products Limited Production Budget July August September October Required production in units < Required 1 Required 3 >
Expert Answer:
Related Book For
Managerial Accounting
ISBN: 978-0697789938
13th Edition
Authors: Ray H. Garrison, Eric W. Noreen, Peter C. Brewer
Posted Date:
Students also viewed these accounting questions
-
Costco Wholesale Corporation operates membership warehouses that sell a variety of branded and private label products. Headquartered in Issaquah, Washington, it also sells merchandise online in the...
-
Use Gauss' Divergence Theorem to evaluate 1-/20+32 +1248 xy+y where S is the entire surface of the sphere x + y + z = 1.
-
Erin Danielle Company purchased equipment and incurred the following costs. What amount should be recorded as the cost of the equipment? (a) $24,000. (c) $25,400. (b) $25,200. (d) $25,800. Cash price...
-
Assume that at the beginning of 2015 Quick Air purchased a used Jumbo 747 aircraft at a cost of $56,700,000. QuickAir expects the plane to remain useful for five years (5,000,000 miles) and to have a...
-
Write a function to increase the volume for all the positive values and decrease the volume for all the negative values. Can you still understand any words in the sound?
-
George Oppenheimer, an agent for Wellington Farms of Massachusetts, Inc., had contacted Mark Kiriakou from the Capital Area Food Bank regarding an order for frozen turkey meat. In an exchange of...
-
Virginia Tech operates its own power generating plant. The electricity generated by this plant supplies power to the university and to local businesses and residences in the Blacksburg area. The...
-
Blossom Corp. obtained a tradename in January 2024, incurring legal costs of $72,720. The company amortizes the tradename over 8 years using the straight-line method. Blossom successfully defended...
-
Number 10.3. ,10.4 .Please help me b) Calcula (c) Calculate the time period if the hole were drilled through the Moon. 10.3. In Fig. 10.3, if there are a large number of forces acting on M, the...
-
Promotion decisions are often made by retailers without accounting for the impact on the rest of the supply chain. the retailers profit margin. stock levels. seasonal variation.
-
For any supply chain, the source of revenue is generated by efficient operations. information flows. the customer. product flows.
-
Weekly demand for cell phones at a Best Buy store is normally distributed, with a mean of 300 and a standard deviation of 200. The supplier takes two weeks to supply a Best Buy order. Best Buy is...
-
Discuss a framework for making network design decisions.
-
Discuss the importance of expanding the scope of strategic fit across the supply chain.
-
Craft a well written and well thought out response to the following scenario: The superintendent of the Shady Tree School District is concerned with an application filed with the States Department of...
-
Suppose that the electrical potential at the point (x, y, z) is E(x, y, z) = x + y - 2z. What is the direction of the acceleration at the point (1,3,2)?
-
Top-Quality Stores, Inc., owns a nationwide chain of supermarkets. The company is going to open another store soon, and a suitable building site has been located in an attractive and rapidly growing...
-
Why arent common costs allocated to segments under the contribution approach?
-
How do fixed costs create difficulties in costing units of product?
-
Suppose that the universe of available risky securities consists of a large number of stocks, identically distributed with E(r) = 15%, = 60%, and a common correlation coefficient of = .5. a. What...
-
Suppose that two portfolio managers who work for competing investment management houses each employs a group of security analysts to prepare the input list for the Markowitz algorithm. When all is...
-
What is the Sharpe ratio of the best feasible CAL?
Study smarter with the SolutionInn App