Two major budgets comprising the budgeted balance sheet are 0 a_ the cost of goods sold budget and the selling and administrative expenses budget 0 b, the sales budget and the production budget 0 c_ the static budget and the exible budget 0 d, the cash budget and the capital expenditures budget Nyt Garments Co.'s static budget at 10,000 units of production includes $30,000 for direct material and $5,000 for electric power. Total fixed costs are $31,000. At 12,000 ? units of production, a flexible budget would show Oa. variable costs of $44,000 and $23,000 of fixed costs Ob. variable costs of $42,000 and $31,000 of fixed costs Oc. variable costs of $40,000 and $35,000 of fixed costs Od. variable costs of $41,000 and $30,000 of fixed costsKohlman Company began its operations on March 31 of the current year. Projected manufacturing costs for the first three months of business are $156,800, $195,200, and $217,600, respectively, for April, May, and June. Depreciation, insurance, and property taxes represent $28,800 of the estimated monthly manufacturing costs. Insurance was paid on March 31, and property taxes will be paid in November. Three-fourths of the remainder of the manufacturing costs are expected to be paid in the month in which they are incurred with the balance to be paid in the following month. The cash payments for manufacturing in the month of April are _ Oa. $117,600 Ob. $128,000 Oc. $96,000 Od. $156,800 Benjamin Corporation began its operations on September 1 of the current year. Budgeted sales for the first three months of business are $250,000, $300,000, and ? $420,000, respectively, for September, October, and November. The company expects to sell 20% of its merchandise for cash. Of sales on account, 70% are expected to be collected in the month of the sale, 25% in the month following the sale, and the remainder in the following month. The cash collections from accounts receivable in September are Oa. $140,000 Ob. $175,000 Oc. $190,000 Od. $168,000In a production budget, if the number of units expected to be sold during the year is 8,000, the number of units desired in ending inventory is 470 units, and the number of units in beginning inventory is 510 units, the total production for the year is Oa. Ob. Oc. Od. 7,160 7,810 6,660 7,960 Production estimates for August are as follows: Estimated inventory (units), August 1 12,000 Desired inventory (units), August 31 9,000 Expected sales volume (units), August 75,000 For each unit produced, the direct materials requirements are as follows: Direct material A ($5 per lb.) 3 lbs. Direct material B ($15 per lb.) 1/2 lb. The total direct materials purchases of materials A and B required for August production is Oa. $1,260,000 for A; $630,000 for B Ob. $1,170,000 for A; $585,000 for B Oc. $1,080,000 for A; $540,000 for B Od. $1,125,000 for A; $562,500 for B Production and sales estimates for June are as follows: Estimated inventory (units), June 1 18,500 Desired inventory (units), June 30 19,000 Expected sales volume (units): Area X 3,000 Area Y 4,000 Area 2 5,500 Unit sales price $20 The number of units expected to be manufactured in June is 0a, 12,500 Ob, 13,000 0c, 12,000 00. 10,000 The following data relate to direct labor costs for the current period of Executive Inc.: Standard costs 6,000 hours at $12.00 Actual costs 7,500 hours at $11.60 What is the direct labor time variance? Oa. $18,000 favorable O b. $18,000 unfavorable Oc. $17,400 unfavorable Od. $17,400 favorable Standard cost per unit is calculated as O a, standard rate per hour multiplied by standard time 0 b, standard price multiplied by standard quantity 0 c, service units used divided by available service units 0 d, standard quantity divided by standard price I\\ Schedule of Cash Payments Shakti Power Inc. was organized on February 28. Projected selling and administrative expenses for each of the rst three months of operations are as follows: March $63,000 April 74,000 May 84,000 Depreciation, insurance, and property taxes represent $5,000 of the estimated monthly expenses. The annual insurance premium was paid on February 28, and property taxes for the year will be paid in November. Seventy percent of the remainder of the expenses are expected to be paid in the month in which they are incurred, with the balance to be paid in the following month. This information has been collected in the Microsoft Excel Online file. Open the spreadsheet, perform the required analysis, and input your answers in the question below. Prepare a schedule indicating cash payments for selling and administrative expenses for March, April, and May. Enter all amounts as positive numbers. SHAKTI POWER INC. Schedule of Cash Payments for Selling and Administrative Expenses For the Three Months Ending May 31 March April May ( Previous Next ) Expenses For the Three Months Ending May 31 March April May March expenses: Paid in $ Paid in $ April ) expenses: Paid in April U Paid in $ New 1:] May expenses: Paid in May :1 Total cash $ $ $ payments ' I l File Home Insert Draw Page Layout Formulas Data Review View Help Editing Comments Arial 10 v B v A . . . = ab Currency $ v 00 .00 [v AV OV . . . 326 X V fx A B C D E F G H I J K L M N Schedule of Cash Payments Shakti Power Inc. was organized on February 28. Projected selling and administrative expenses for each of the first three months of operations are as follows: UI A W DATA 6 March $63,000 7 April 74,000 8 May 84,000 The annual insurance premium was paid on February 28, and property taxes for the year will be paid in November. The percentage of the remainder of the 10 expenses that are expected to be paid in the month in which they are incurred is shown below. The rest is paid next month. 11 12 DATA 13 Depreciation, insurance, and property taxes $5,000 of the estimated monthly expense 14 Percentage of the remaining expenses paid in the current month 70% 15 16 REQUIRED: 17 Prepare a schedule indicating cash payments for selling and administrative expenses for March, April, and May. 18 Using formulas and cell references from the problem data, perform the required analysis. Formulas entered in the green cells show in the orange cells. 19 Transfer amounts to CNOWv2 for grading. 20 21 SHAKTI POWER INC. 22 Schedule of Cash Payments for Selling and Administrative Expenses 23 For the Three Months Ending May 31 24 March Apri May Formulas 25 March expenses:File Home Insert Draw Page Layout Formulas Data Review View Help Editing v Comments ,00 Arial 10 B Av . . . =v ab Currency $ 00 70 EV APV OV . . . B26 X fx A B C D E F G H I J K L M N 14 Percentage of the remaining expenses paid in the current month 70% 15 16 REQUIRED: 17 Prepare a schedule indicating cash payments for selling and administrative expenses for March, April, and May. 18 Using formulas and cell references from the problem data, perform the required analysis. Formulas entered in the green cells show in the orange cells. 19 Transfer amounts to CNOWv2 for grading. 20 21 SHAKTI POWER INC. 22 Schedule of Cash Payments for Selling and Administrative Expenses 23 For the Three Months Ending May 31 24 March April May Formulas 25 March expenses: 26 Paid in March 27 Paid in April 28 April expenses: 29 Paid in April 30 Paid in May 31 May expenses: 32 Paid in May 33 Total cash payments 34 35 36