Question: Bubgeted production Total DM required Budgeted ending inventory Standard pump motors per spa Budgeted purchases Budgeted purchases cost Beginning inventory Production needs Standard price per

 Bubgeted production Total DM required Budgeted ending inventory Standard pump motors
per spa Budgeted purchases Budgeted purchases cost Beginning inventory Production needs Standard
price per motor Prepare the purchases budget for motors for 2021. (Round
Standard pump motors per spa into 1 decimal ploce, e.g. 12.2.) 2nd

Bubgeted production Total DM required Budgeted ending inventory Standard pump motors per spa Budgeted purchases Budgeted purchases cost Beginning inventory Production needs Standard price per motor Prepare the purchases budget for motors for 2021. (Round Standard pump motors per spa into 1 decimal ploce, e.g. 12.2.) 2nd Quarter 3rd Quarter 4th Quarter Annual Each 2-person spa requires a pump motor, which Crane purchases for $160. On December 31, 2020, Crane had 400 pump motors in inventory. Damage during the installation process results in a standard quantity of 1.20 motors per spa. Because of recent delivery problems, Crane wants to maintain an ending inventory equal to 50 percent of the following quarter's production needs. Since the supplier has assured Crane that the delivery issues will be resolved by the end of December, Crane wants only 300 motors in inventory on December 31,2021. Crane Enterprises is a portable hot tub manufacturer. The company produces both 2-person and 4-person hot tubs. Paul White, the company's sales manager, prepared the following sales forecast for 2021. The forecasted sales prices include a 5 percent increase in the 2-person spa price and a 10 percent increase in the 4-person spa price, to cover anticipated increases in raw materials prices. Bubgeted production Total DM required Budgeted ending inventory Standard pump motors per spa Budgeted purchases Budgeted purchases cost Beginning inventory Production needs Standard price per motor Prepare the purchases budget for motors for 2021. (Round Standard pump motors per spa into 1 decimal ploce, e.g. 12.2.) 2nd Quarter 3rd Quarter 4th Quarter Annual Each 2-person spa requires a pump motor, which Crane purchases for $160. On December 31, 2020, Crane had 400 pump motors in inventory. Damage during the installation process results in a standard quantity of 1.20 motors per spa. Because of recent delivery problems, Crane wants to maintain an ending inventory equal to 50 percent of the following quarter's production needs. Since the supplier has assured Crane that the delivery issues will be resolved by the end of December, Crane wants only 300 motors in inventory on December 31,2021. Crane Enterprises is a portable hot tub manufacturer. The company produces both 2-person and 4-person hot tubs. Paul White, the company's sales manager, prepared the following sales forecast for 2021. The forecasted sales prices include a 5 percent increase in the 2-person spa price and a 10 percent increase in the 4-person spa price, to cover anticipated increases in raw materials prices

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!