Question 1 of 5 View Policies Current Attempt in Progress < Concord Industries had sales in...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Question 1 of 5 View Policies Current Attempt in Progress < Concord Industries had sales in 2021 of $5,480,800 and gross profit of $886,600. Management is considering two alternative budget plans to increase its gross profit in 2022. (a) > Plan A would increase the unit selling price from $8.00 to $8.40. Sales volume would decrease by 100,750 units from its 2021 level. Plan B would decrease the unit selling price by $0.50. The marketing department expects that the sales volume would increase by 104,780 units. At the end of 2021, Concord has 32,240 units of inventory on hand. If Plan A is accepted, the 2022 ending inventory should be 28,210 units. If Plan B is accepted, the ending inventory should be equal to 48,360 units. Each unit produced will cost $1.5 in direct labor, $1.3 in direct materials, and $1.2 in variable overhead. The fixed overhead for 2022 should be $1,527,370. Prepare a sales budget for 2022 under each plan. (Round Unit selling price answers to 2 decimal places, e.g. 52.70.) eTextbook and Media Save for Later $ $ CONCORD INDUSTRIES Sales Budget Plan A $ - /2 $ Plan B Attempts: 0 of 5 used Submit Answer Question 1 of 5 View Policies Current Attempt in Progress < Concord Industries had sales in 2021 of $5,480,800 and gross profit of $886,600. Management is considering two alternative budget plans to increase its gross profit in 2022. (a) > Plan A would increase the unit selling price from $8.00 to $8.40. Sales volume would decrease by 100,750 units from its 2021 level. Plan B would decrease the unit selling price by $0.50. The marketing department expects that the sales volume would increase by 104,780 units. At the end of 2021, Concord has 32,240 units of inventory on hand. If Plan A is accepted, the 2022 ending inventory should be 28,210 units. If Plan B is accepted, the ending inventory should be equal to 48,360 units. Each unit produced will cost $1.5 in direct labor, $1.3 in direct materials, and $1.2 in variable overhead. The fixed overhead for 2022 should be $1,527,370. Prepare a sales budget for 2022 under each plan. (Round Unit selling price answers to 2 decimal places, e.g. 52.70.) eTextbook and Media Save for Later $ $ CONCORD INDUSTRIES Sales Budget Plan A $ - /2 $ Plan B Attempts: 0 of 5 used Submit Answer Prepare a production budget for 2022 under each plan. (c1) Production cost per unit $ (d). Compute the production cost per unit under each plan. (Round answers to 2 decimal places, e.g. 1.25.) Gross Profit $ Plan A SHERIDAN INDUSTRIES Production Budget Which plan should be accepted? should be accepted. Plan A Plan A Compute the gross profit under each plan. (Round answers to 0 decimal places, e.g. 125.) $ $ Plan B Plan B Plan B Question 1 of 5 View Policies Current Attempt in Progress < Concord Industries had sales in 2021 of $5,480,800 and gross profit of $886,600. Management is considering two alternative budget plans to increase its gross profit in 2022. (a) > Plan A would increase the unit selling price from $8.00 to $8.40. Sales volume would decrease by 100,750 units from its 2021 level. Plan B would decrease the unit selling price by $0.50. The marketing department expects that the sales volume would increase by 104,780 units. At the end of 2021, Concord has 32,240 units of inventory on hand. If Plan A is accepted, the 2022 ending inventory should be 28,210 units. If Plan B is accepted, the ending inventory should be equal to 48,360 units. Each unit produced will cost $1.5 in direct labor, $1.3 in direct materials, and $1.2 in variable overhead. The fixed overhead for 2022 should be $1,527,370. Prepare a sales budget for 2022 under each plan. (Round Unit selling price answers to 2 decimal places, e.g. 52.70.) eTextbook and Media Save for Later $ $ CONCORD INDUSTRIES Sales Budget Plan A $ - /2 $ Plan B Attempts: 0 of 5 used Submit Answer Question 1 of 5 View Policies Current Attempt in Progress < Concord Industries had sales in 2021 of $5,480,800 and gross profit of $886,600. Management is considering two alternative budget plans to increase its gross profit in 2022. (a) > Plan A would increase the unit selling price from $8.00 to $8.40. Sales volume would decrease by 100,750 units from its 2021 level. Plan B would decrease the unit selling price by $0.50. The marketing department expects that the sales volume would increase by 104,780 units. At the end of 2021, Concord has 32,240 units of inventory on hand. If Plan A is accepted, the 2022 ending inventory should be 28,210 units. If Plan B is accepted, the ending inventory should be equal to 48,360 units. Each unit produced will cost $1.5 in direct labor, $1.3 in direct materials, and $1.2 in variable overhead. The fixed overhead for 2022 should be $1,527,370. Prepare a sales budget for 2022 under each plan. (Round Unit selling price answers to 2 decimal places, e.g. 52.70.) eTextbook and Media Save for Later $ $ CONCORD INDUSTRIES Sales Budget Plan A $ - /2 $ Plan B Attempts: 0 of 5 used Submit Answer Prepare a production budget for 2022 under each plan. (c1) Production cost per unit $ (d). Compute the production cost per unit under each plan. (Round answers to 2 decimal places, e.g. 1.25.) Gross Profit $ Plan A SHERIDAN INDUSTRIES Production Budget Which plan should be accepted? should be accepted. Plan A Plan A Compute the gross profit under each plan. (Round answers to 0 decimal places, e.g. 125.) $ $ Plan B Plan B Plan B
Expert Answer:
Answer rating: 100% (QA)
123 3 Expected units sales 4 Selling price per unit 5 Total Sales 6 7 8 9 10 Expected unit sales 11 ... View the full answer
Related Book For
Accounting Principles
ISBN: 978-0470533475
9th Edition
Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso
Posted Date:
Students also viewed these finance questions
-
The marketing manager of Drexel-Hall is considering two alternative advertising strategies, each of which would cost $15,000 per month. One strategy is to advertise the name Drexel-Hall, which is...
-
The government is considering two alternative policies, one involving increased government purchases of 50 units, the other involving a tax cut of 50 units. Which policy will stimulate planned...
-
The central bank is considering two alternative monetary policies: Holding the money supply constant and letting the interest rate adjust, or Adjusting the money supply to hold the interest rate...
-
Identify and describe a time (that you would be comfortable sharing for the purposes of this assignment) when you faced a challenge in a friendship, like a betrayal or geographic distance.
-
The following events apply to The Taco Factory for the 2013 fiscal year: 1. Started the company when it acquired $21,000 cash from the issue of common stock. 2. Purchased a new cooktop that cost...
-
For quality assurance, every fortieth toothbrush is taken from each of four assembly lines and tested to make sure the bristles stay in the toothbrush. Identify the sampling technique used, and...
-
The rectangular wooden column can be considered fixed at its base and pinned at its top. Also, the column is braced at its mid height against the weak axis. Determine the maximum eccentric force...
-
J. B. Speck, owner of Specks Galleria, made the following purchases of merchandise on account during the month of September: Sept. 3 Purchase Invoice No. 415, $2,650, from Smith Distributors. 8...
-
Concord Co. decides at the beginning of 2025 to adopt the FIFO method of inventory valuation. Concord had used the LIFO method for financial reporting since its inception on January 1, 2023, and had...
-
Joe and Jessie are married and have one dependent child, Lizzie. Lizzie is currently in college at State University. Joe works as a design engineer for a manufacturing firm while Jessie runs a craft...
-
Which of the following statements is false in describing manufacturing overhead? O Manufacturing overhead consists of all manufacturing cost including prime cost. O Manufacturing overhead when...
-
Suppose a VC fund invests $10M for 20% of a startup in the form of convertible preferred stock with a 1x liquidation preference and a $100M automatic conversion threshold . Assuming the startup does...
-
What is one type of contract that must be in writing pursuant to the Statute of Frauds and when must UCC contracts be in writing? a. Statute of Frauds: b. UCC:
-
For the given matrix below compute both det(4) and det(2.4). 4 -2 5 -1 -7 10 0 1-3
-
Nishi Corporation's common stock just paid $0.79 dividend recently and dividends are expected to grow at a constant rate for the foreseeable future. The investors' required rate of return on the...
-
Nancy's son plans to start college when he graduates from High School. Assume that after-tax annual rate of return that Nancy is able to earn from her investment is 8.18 percent. The rate of...
-
1. Calculate the indegree and outdegree of each node. Execute BFS and DFS on this graph. Write down the output. Suppose, A is the starting node. A B D E F
-
1. Below is depicted a graph G constructed by joining two opposite vertices of C12. Some authors call this a "theta graph" because it resembles the Greek letter 0. a. What is the total degree of this...
-
At the beginning of the current season on April 1, the ledger of Five Pines Pro Shop showed Cash $3,000; Merchandise Inventory $4,000; and Irene Tiger, Capital $7,000.These transactions occurred...
-
Using the information in P25-1B, compute the overhead controllable variance and the overhead volume variance.
-
Kidwell Computer Components Inc. uses a multi-column cash receipts journal. Indicate which column(s) is/are posted only in total, only daily, or both in total and daily. 1. Accounts Receivable 2....
-
Using the diagram in exercise 5, illustrate the effect of the change in Japanese tastes if exchange rates are fixed. What will happen to the foreign exchange market equilibrium? Data from in exercise...
-
When and why should exchange rates change under a fixed-exchange-rate system?
-
What does it mean to say that a currency appreciates or depreciates in value? Give an example of each and briefly mention what might cause such a change.
Study smarter with the SolutionInn App