Four grams of musk oil are required for each bottle of Mink Caress, a popular perfume...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Four grams of musk oil are required for each bottle of Mink Caress, a popular perfume made by a company in western Siberia. The cost of the musk oil is $1.80 per gram. Budgeted quarterly production of Mink Caress is given below for Year 2 and the first quarter of Year 3: Budgeted production, in bottles Year 2 First 94,000 Second 124,000 Third 184,000 Fourth 134,000 Year 3 First 104,000 The inventory of musk oil at the end of a quarter must equal 20% of the following quarter's production needs. A total of 75,200 grams of musk oil will be on hand to start the first quarter of Year 2. Required: Prepare a direct materials budget for musk oil, by quarter and in total, for Year 2. Required production in units of finished goods Units of raw materials needed per unit of finished goods Units of raw materials needed to meet production Add: Desired units of ending raw materials inventory Total units of raw materials needed Less: Units of beginning raw materials inventory Units of raw materials to be purchased Unit cost of raw materials Cost of raw materials to purchased Mink Caress Direct Materials Budget - Year 2 Quarter Year First Second Third Fourth 94,000 124,000 184,000 134,000 536,000 4 4 4 4 376,000 496,000 736,000 99,200 147,200 107,200 536,000 83,200 475,200 643,200 843,200 619,200 2,144,000 83,200 2,227,200 75,200 99,200 147,200 107,200 75,200 400,000 544,000 696,000 512,000 2,152,000 $ $ 720,000 1.80 $ $ 1.80 $ 1.80 $ 1.80 $ 1.80 979,200 $ 1,252,800 $ 921,600 $ 3,873,600 Four grams of musk oil are required for each bottle of Mink Caress, a popular perfume made by a company in western Siberia. The cost of the musk oil is $1.80 per gram. Budgeted quarterly production of Mink Caress is given below for Year 2 and the first quarter of Year 3: Budgeted production, in bottles Year 2 First 94,000 Second 124,000 Third 184,000 Fourth 134,000 Year 3 First 104,000 The inventory of musk oil at the end of a quarter must equal 20% of the following quarter's production needs. A total of 75,200 grams of musk oil will be on hand to start the first quarter of Year 2. Required: Prepare a direct materials budget for musk oil, by quarter and in total, for Year 2. Required production in units of finished goods Units of raw materials needed per unit of finished goods Units of raw materials needed to meet production Add: Desired units of ending raw materials inventory Total units of raw materials needed Less: Units of beginning raw materials inventory Units of raw materials to be purchased Unit cost of raw materials Cost of raw materials to purchased Mink Caress Direct Materials Budget - Year 2 Quarter Year First Second Third Fourth 94,000 124,000 184,000 134,000 536,000 4 4 4 4 376,000 496,000 736,000 99,200 147,200 107,200 536,000 83,200 475,200 643,200 843,200 619,200 2,144,000 83,200 2,227,200 75,200 99,200 147,200 107,200 75,200 400,000 544,000 696,000 512,000 2,152,000 $ $ 720,000 1.80 $ $ 1.80 $ 1.80 $ 1.80 $ 1.80 979,200 $ 1,252,800 $ 921,600 $ 3,873,600
Expert Answer:
Answer rating: 100% (QA)
Mink Caress Direct Materials Budget Year 2 Quarter First Second Third Fourth Year Requi... View the full answer
Related Book For
Managerial Accounting for Managers
ISBN: 978-1259578540
4th edition
Authors: Eric Noreen, Peter Brewer, Ray Garrison
Posted Date:
Students also viewed these accounting questions
-
4 5 B-Good, Inc. has accounts receivable at September 30 of $1,000,000. At September 30, Allowance for Doubtful Accounts has a credit balance (prior to adjustment) of * 2,250 T 4 The Company uses the...
-
An entropian repair is performed on the left lower eyelid in which undermining was performed with scissors of the inferior lid and inferior temporal region. Deep sutures were used to separate the...
-
Research about the competitive and comparative advantage of the Argentina in terms of physical and human resources and how it is making use of these resources for international trade purpose. 3....
-
Make a trip to your library. Read the latest annual reports of three different companies that are known for effective marketing (e.g., Coca-Cola, P & G, GE). Identify the strong and weak points of...
-
Direct labor costs Family Model Deluxe Model $72,900 $145,800 Machine hours 2,000 2,000 Setup hours 200 800 Packaging hours 50 75 The estimated overhead of $437,400 is allocated as follows: machining...
-
A logging boat is towing a \(\log\) at \(1.5 \mathrm{~m} / \mathrm{s}\) against a river current that is \(1 \mathrm{~m} / \mathrm{s}\). The \(\log\) is \(0.5 \mathrm{~m}\) in diameter and \(2...
-
These are the assumptions, principles, and constraints discussed in this and previous chapters. 1. Economic entity assumption. 2. Expense recognition principle. 3. Monetary unit assumption. 4....
-
What are the major change activities that need to take place to transition employees? What actions do you need to take based on your stakeholder analysisand change impact assessment?Whatarethe...
-
Question 3 (4 points) Choose whether each bracketed relative clause can/should be set off with commas or not. After a while all those [who tried] gave it up as too dangerous. He led the peasant out...
-
A "hot topic" in today's world is employee email monitoring by organizations. Do you believe the practice of email monitoring by an organization should be enforced, and if so how should it be...
-
Ritter Corporation's accountants prepared the following financial statements for year-end 2021: (Do not round intermediate calculations.) RITTER CORPORATION Income Statement 2021 Revenue $ 781...
-
C Four capacitors are connected to a DC battery (with an electric potential difference of V) as shown in Figure. Given: HH C2 C3 C1 (F) C2 (F) C3 (FC4 (F) V (Volt) C4 24 61 79 32 14 Calculate the...
-
On December 31, 2023, Berclair Incorporated had 600 million shares of common stock and 16 million shares of 9%, $100 par value cumulative preferred stock issued and outstanding. On March 1, 2024,...
-
What are at least two examples of violations of the student kind of academic integrity why is integrity important in both academic and professional life?
-
The board of education for the Central Catskill School District is considering the acquisition of several minibuses for use in transporting students to school. Five of the school districts bus routes...
-
For the next several days, take notes on your listening performance during at least a half-dozen situations in class, during social activities, and at work, if applicable. Referring to the traits of...
-
Describe the relationship between dynamic modeling, behavioral modeling, and structural modeling.
-
Comment on this statement: Dynamic modeling is about interaction.
-
Explain how objects interact by exchanging messages.
Study smarter with the SolutionInn App