Shadee Corporation expects to sell 590 sun shades in May and 390 in June. Each shade...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Shadee Corporation expects to sell 590 sun shades in May and 390 in June. Each shade sells for $143. Shadee's beginning and ending finished goods inventories for May are 75 and 50 shades, respectively. Ending finished goods inventory for June will be 50 shades. Each shade requires a total of $50.00 in direct materials that includes 4 adjustable poles that cost $10.00 each. Shadee expects to have 120 in direct materials inventory on May 1, 90 poles in inventory on May 31, and 120 poles in inventory on June 30. Suppose that each shade takes three direct labor hour to produce and Shadee pays its workers $12 per hour. Additionally, Shadee's fixed manufacturing overhead is $10,000 per month, and variable manufacturing overhead is $13 per unit produced. Additional information: • Selling costs are expected to be 10 percent of sales. • Fixed administrative expenses per month total $1,400. Required: Prepare Shadee's budgeted income statement for the months of May and June. Note: Do not round your intermediate calculations. Round your answers to 2 decimal places. Budgeted Cost of Goods Sold SHADEE CORPORATION Budgeted Income Statement May June Shadee Corporation expects to sell 590 sun shades in May and 390 in June. Each shade sells for $143. Shadee's beginning and ending finished goods inventories for May are 75 and 50 shades, respectively. Ending finished goods inventory for June will be 50 shades. Each shade requires a total of $50.00 in direct materials that includes 4 adjustable poles that cost $10.00 each. Shadee expects to have 120 in direct materials inventory on May 1, 90 poles in inventory on May 31, and 120 poles in inventory on June 30. Suppose that each shade takes three direct labor hour to produce and Shadee pays its workers $12 per hour. Additionally, Shadee's fixed manufacturing overhead is $10,000 per month, and variable manufacturing overhead is $13 per unit produced. Additional information: • Selling costs are expected to be 10 percent of sales. • Fixed administrative expenses per month total $1,400. Required: Prepare Shadee's budgeted income statement for the months of May and June. Note: Do not round your intermediate calculations. Round your answers to 2 decimal places. Budgeted Cost of Goods Sold SHADEE CORPORATION Budgeted Income Statement May June
Expert Answer:
Answer rating: 100% (QA)
To prepare Shadee Corporations budgeted income statement for the months of May and June we need to calculate the cost of goods sold COGS for each month and then deduct other expenses to obtain the net ... View the full answer
Related Book For
Managerial Accounting
ISBN: 978-0078025518
2nd edition
Authors: Stacey Whitecotton, Robert Libby, Fred Phillips
Posted Date:
Students also viewed these finance questions
-
ABC Ltd has collected the following data for its two activities. It calculates activity cost rates based on cost driver capacity. Activity Cost driver Capacity Cost Power Kilowatt hours 50000 hrs...
-
Why are changes in nucleosome spacing important in changing geneexpression? Select the two correct answers. When DNA is unmethylated and histones are acetylated,nucleosomes are spaced in the open...
-
David and Darlene Jasper have one child, Sam, who is 6 years old (birthdate July 1, 2014). The Jaspers reside at 4639 Honeysuckle Lane, Los Angeles, CA 90248. David's Social Security number is...
-
Widows DeVries and McAfee claimed their husbands died from cancer due to asbestos exposure while serving on Navy ships that included parts produced by Air & Liquid Systems Corp (ALS). Asbestos...
-
Create a pseudocode solution for problem 4 using Windows synchronization primitives. Suppose that you had created an OS facility that implemented monitors, but not condition variables. Show hoe to...
-
Imagine a scenario where Country A is a major steel producer and Country B is a developing nation with a growing steel industry. Country B's steel industry is facing significant challenges due to...
-
Partly to address the existence and completeness assertions, auditors typically test purchase cutoff at the balance sheet date, thereby addressing whether purchase transactions are recorded in the...
-
Early in September 1983, it took 245 Japanese yen to equal $1. More than 20 years later that exchange rate had fallen to 108 yen to $1. Assume the price of a Japanese-manufactured automobile was...
-
CompanyA is using the Copy Data from Company feature to populate datain several tables in CompanyB.You select source tables for the data transfer. You observe that several ofthe tables do not appear...
-
The intern has prepared the following trial balance for the month of March. KL Company Inc. Unadjusted Trial Balance March 31, 20Y3 Debit Balances Account Title Cash Accounts Receivable Supplies...
-
Evaluate (32 3 tan 8xdx.
-
Supplying Big Island Beef to high-end steak restaurant in Spain. Using Porter's Five Forces. Need a lot of information and citation of this two topic. - Threat of new entrants - Level of substitutes
-
Consider a stock and two European call options of the stock. The price, Delta, and Gamma of the two options are given by the following table. Price Delta Gamma 40 strike 45 strike 2.7847 1.3684...
-
4. For each one of the following systems of linear equations: I) II) III) 20 30 10 = x1 + 10x3 = = 8x1 + 3x2 12x2 + 6x3 2x1 + x2 + 5x3 = 1 2x1 + 2x2+2x3 4x1+x2= 2 1 = x1 + x2 x3 = -3 6x1 + 2x2+2x3 =...
-
What must be the mass of a rock if a boy applies a 64N force and causes it to accelerate at 4.51m/s 2 ?
-
Assume common data sizes (char = 1 byte, short = 2, int = 4, long = 8, float = 4, double = 8) and that alignment requirements follow the data size. struct { char c[ 2 ]; int i[ 4 ]; double d[ 2]; }...
-
A psychiatric researcher wishes to evaluate a new diagnostic instrument for psychotic illness. The test is comprised of 20 questions regarding individual psychiatric symptoms. A positive test is one...
-
For the data in Exercise 17-19, use the FIFO method to summarize total costs to account for, and assign these costs to units completed and transferred out, and to units in ending work in process....
-
How can a unit be 100 percent complete with respect to materials but only partially complete in terms of conversion effort?
-
What is the purpose of a job cost sheet? What information should it contain?
-
Why is a contribution margin income statement more useful to managerial decision makers than the income statement intended for external users?
-
The equations of motion of a two-degree-of-freedom system are given by where \(F_{1}(t)\) denotes a rectangular pulse of magnitude 5 acting over \(0 \leq t \leq 2\). Find the solution of the...
-
Find the response of a simple pendulum numerically by solving the linearized equation: \[\ddot{\theta}+\frac{g}{l} \theta=0\] with \(\frac{g}{l}=0.01\) and plot the response, \(\theta(t)\), for \(0...
-
Using the Newmark method with \(\alpha=\frac{1}{6}\) and \(\beta=\frac{1}{2}\), solve Problem 11.20. Data From Problem 11.20:- The equations of motion of a two-degree-of-freedom system are given by...
Study smarter with the SolutionInn App