Prepare a table detailing variable costs for each type of box, and fixed costs. Include direct materials and direct labor in your table, as well as unit sales, unit production, unit-selling price, and adjust for inflation (See Exhibit B). Exhibit B will include your unit variable costs and your monthly fixed expenses.

Sales Forecast

(Fiscal Year 2018)

	Sales Volume	Sales Price
Box type C	500,000 boxes	$60.00 per 100 boxes
Box type P	500,000 boxes	$85.00 per 100 boxes

		July 2017	Aug 2017	Sept 2017	Oct 2017	Nov 2017	Dec 2017
Production (C & P) in units		82,000	81,500	81,000	79,000	78,000	87,000
Indirect materials	Manufacturing	701	695	690	672	653	715
Indirect labor	Manufacturing	3,150	3,125	3,100	3,060	3,030	3,250
Utilities	$250 /mo. to Sell/Admin	2,340	2,300	2,285	2,225	2,190	2,400
Property taxes	90% Manufacturing	2,675	2,675	2,675	2,675	2,675	2,675
Insurance	50% Manufacturing	1,985	1,985	1,985	1,985	1,985	1,985
Depreciation	85% Manufacturing	3,155	3,155	3,155	3,155	3,155	3,155
Sales salaries	Selling/Administrative	4,750	4,750	4,750	4,750	4,750	4,750
Sales commission	Selling/Administrative	1% of sales	1% of sales	1% of sales	1% of sales	1% of sales	1% of sales
Management salaries	Selling/Administrative	8,676	8,676	8,676	8,676	8,676	8,676
Clerical wages	Selling/Administrative	2,975	2,975	2,975	2,975	2,975	2,975
Advertising	Selling/Administrative	925	925	925	925	925	925
Miscellaneous	Selling/Administrative	475	475	475	475	475	475

Prepare a table detailing variable costs for each type of box, and fixed costs. Include direct materials and direct labor in your table, as well as unit sales, unit production, unit-selling price, and adjust for inflation (See Exhibit B). Exhibit B will include your unit variable costs and your monthly fixed expenses.

EXHIBIT B

Variables Price inflator 1.03 Amt F sla Annual sales in units Annual production in units Sales price per unit 500,000 500,000 495,000 495,000 $ 0.90$ 1.30 Direct materials Paperboard 100%, 100%, 100%, 100% 100% 100% 0.0618 0.0206 0.0309 0.1442 0.0309 0.0618 , 0.0082 0.0082 , 0.0206 0.0206 , 0.0196 0.0196 Corrugating medium Direct labor Indirect materials (MOH Indirect labor (MOH Utilities (MOH) Sales Commisions Property taxes Insurance Depreciation Sales salaries Management salaries Clerical wages Advertising Miscellaneous 0.0080 0.0200 0.0190 100% 100% 100% 100% 100% 100% | 134 2861 174 258 0 0 2,000 1,600 3,000 4,000 8,000 4,000 900 5,000 90% 50% 85% 0% 0% 0% 0% 0% 206 824 464 4,120 8,240 4,120 927 5,150 1,854 824 2,627