Wildhorse Ltd. estimates sales for the second quarter of 2022 will be as follows. Month April May June Units March 31 April 30 May 31 June 30 3,090 3,190 2,960 The target ending inventory of finished products is as follows. 2,440 2,620 2,600 2,900 Two units of materials are required for each unit of finished product. Production for July is estimated at 3,210 units to start building inventory for the fall sales period. Wildhorse's policy i to have an inventory of raw materials at the end of each month equal to 50% of the following month's production requirements. Raw materials are expected to cost $4 per unit throughout the period. Calculate the May raw materials purchases in dollars. Raw material purchases cost $

Wildhorse Ltd. estimates sales for the second quarter of 2022 will be as follows. Month April May June Units March 31 April 30 May 31 June 30 3,090 3,190 2,960 The target ending inventory of finished products is as follows. 2,440 2,620 2,600 2,900 Two units of materials are required for each unit of finished product. Production for July is estimated at 3,210 units to start building inventory for the fall sales period. Wildhorse's policy i to have an inventory of raw materials at the end of each month equal to 50% of the following month's production requirements. Raw materials are expected to cost $4 per unit throughout the period. Calculate the May raw materials purchases in dollars. Raw material purchases cost $

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter2: Basic Cost Management Concepts

Section: Chapter Questions

Problem 4CE: Refer to Cornerstone Exercises 2.2 and 2.3. Next year, Pietro expects to produce 50,000 units and...

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Total Pops data show the following information: New machinery will be added in April. This machine will reduce the labor required per unit and increase the labor rate for those employees qualified to operate the machinery. Finished goods inventory is required to be 20% of the next months requirements. Direct material requires 2 pounds per unit at a cost of $3 per pound. The ending inventory required for direct materials is 15% of the next months needs. In January, the beginning inventory is 3,000 units of finished goods and 4,470 pounds of material. Prepare a production budget, direct materials budget, and direct labor budget for the first quarter of the year.
Refer to Cornerstone Exercises 2.2 and 2.3. Next year, Pietro expects to produce 50,000 units and sell 49,300 units at a price of 12.50 each. Beginning inventory of finished goods is 42,500, and ending inventory of finished goods is expected to be 34,000. Total selling expense is projected at 26,000, and total administrative expense is projected at 134,000. Required: 1. Prepare an income statement in good form. Be sure to include the percent of sales column. 2. What if the cost of goods sold percentage for the past few years was 65 percent? Explain how management might react.
Production information shows these costs and units for the smoothing department in August. What is the value of the inventory transferred out to finished goods and the value of the WIP inventory at the end of the month, assuming conversion costs are 30% complete?
Crane Ltd. estimates sales for the second quarter of 2022 will be as follows. Month Units April 3,190 May 3,290 June 3,060 The target ending inventory of finished products is as follows. March 31 2,520 April 30 2,700 May 31 2,680 June 30 3,000 Two units of materials are required for each unit of finished product. Production for July is estimated at 3,310 units to start building inventory for the fall sales period. Crane’s policy is to have an inventory of raw materials at the end of each month equal to 50% of the following month’s production requirements.Raw materials are expected to cost $4 per unit throughout the period.Calculate the May raw materials purchases in dollars.
ABCL Corporation predicts the following sales in units for the coming four months: May June July August September Unit sales …… 400 500 520 480 540 Finished goods inventory on April 30: 120 units Raw materials inventory on April 30: 450 pounds Desired ending inventory each month: Finished goods: 30% of next month's sales Raw materials: 25% of next month's production needs Number of pounds of raw material required per finished unit: 4 lbs. Required: How many pounds of raw materials should be purchased in May?
King purchases two components for its primary product. They need 3 of Component A and 2 of Component B for each unit of the primary product. Component A costs $3; Component B costs $5. Other facts: Forecasted Primary Product Production: January: 19,500 units February: 19,600 units March: 23,000 units April: 27,000 units Ending component inventory should equal 20% of next month’s production needs. Assume December’s ending inventory met this requirement. Calculate purchases for both Components in both units and dollars by month for Q1.
Total cost and number of units in the first seven months of 2020 are given below. According to this information, which of the following will be total cost in August if the company produces 600 units? Total Cost No.of Units 36,800 37,580 39,400 40,960 42,260 Periods January February 400 415 March 450 April 480 May 505 June 43,820 535 July 44,860 555 Select one: a. 48000 O b. 47200 Oc.53650 O d. 51350
JKL & Company had 3,000 units in finished-goods inventory on December 31. The following data are available for the upcoming year: January February Units to be produced 9,400 10,200 Desired ending finished-goods inventory 2,500 2,100 The number of units the company expects to sell in January is:
Total cost and number of units in the first seven months of 2020 are given below. According to this information, which of the following is the total cost in August if the company produces 470 units? Periods Total Cost No.of Units January 300 30,600 February 31,120 310 March 31,900 325 April 350 33,200 Мay 380 34,760 June 410 36,320 July 37,360 430 Select one: a. 41,550 O b. 48,000 c. 43,650 d. 39,440
Total cost and number of units in the first seven months of 2020 are given below. According to this information, which of the following will be total cost in August if the company produces 600 units? Periods Total Cost No.of Units January February 36,800 400 37,580 415 March 39,400 450 April May 40,960 480 42,260 505 June 43,820 535 July 44,860 555 Select one: O a. 51350 O b. 48000 O c. 53650 O d. 47200 - here to search 3 4 56 6 1 8A9 4 0
Victory Enterprise manufactures cabinets. Projected sales in units are as follows: October - 4.600 units; November - 5,000 units; December - 4,200 units; January - 6,000 units. | | The ending finished goods inventory for every month is projected to be at 50% of the sales in units of the next month. The number of units to be produced in December should be: 1. 3,000 units 2. 5,100 units 3. 4,200 units 4. 5,000 units O 1 O 2 O 3 4
Victory Enterprise manufactures cabinets. Projected sales in units are as follows: October – 4.600 units; November – 5,000 units; December – 4,200 units; January – 6,000 units. The ending finished goods inventory for every month is projected to be at 50% of the sales in units of the next month. The number of units to be produced in December should be: 1. 3,000 units 2. 5,100 units 3. 4,200 units 4. 5,000 units Group of answer choices 1 2 3 4