Question :
91. Production and sales estimates for April as follows:
Estimated inventory (units), : 1233860
91. Production and sales estimates for April are as follows:
Estimated inventory (units), April 1
9,000
Desired inventory (units), April 30
8,000
Expected sales volume (units):
Area A
3,500
Area B
4,750
Area C
4,250
Unit sales price
$20
The budgeted total sales for April is: A. $200,000B. $230,000C. $270,000D. $250,000
92. If the expected sales volume for the current period is 7,000 units, the desired ending inventory is 400 units, and the beginning inventory is 300 units, the number of units set forth in the production budget, representing total production for the current period, is: A. 6,900B. 7,000C. 7,200D. 7,100
93. Production estimates for July are as follows:
Estimated inventory (units), July 1
8,500
Desired inventory (units), July 31
10,500
Expected sales volume (units), July
76,000
For each unit produced, the direct materials requirements are as follows:
Direct material A ($5 per lb.)
3 lbs.
Direct material B ($18 per lb.)
1/2 lb.
The number of pounds of materials A and B required for July production is: A. 216,000 lbs. of A; 36,000 lbs. of BB. 216,000 lbs. of A; 72,000 lbs. of BC. 234,000 lbs. of A; 39,000 lbs. of BD. 225,000 lbs. of A; 37,500 lbs. of B
94. Production estimates for July are as follows:
Estimated inventory (units), July 1
8,500
Desired inventory (units), July 31
10,500
Expected sales volume (units), July
76,000
For each unit produced, the direct materials requirements are as follows:
Direct material A ($5 per lb.)
3 lbs.
Direct material B ($18 per lb.)
1/2 lb.
The total direct materials purchases of materials A and B (assuming no beginning or ending material inventory) required for July production is: A. $1,080,000 for A; $648,000 for BB. $1,080,000 for A; $1,296,000 for BC. $1,170,000 for A; $702,000 for BD. $1,125,000 for A; $675,000 for B
95. The Martin Company had a finished goods inventory of 55,000 units on January 1. Its projected sales for the next four months were: January – 200,000 units; February – 180,000 units; March – 210,000 units; and April – 230,000 units. The Martin Company wishes to maintain a desired ending finished goods inventory of 20% of the following months sales. What should the budgeted production be for January? A. 236,000B. 181,000C. 200,000D. 219,000
96. The Martin Company had a finished goods inventory of 55,000 units on January 1. Its projected sales for the next four months were: January – 200,000 units; February – 180,000 units; March – 210,000 units; and April – 230,000 units. The Martin Company wishes to maintain a desired ending finished goods inventory of 20% of the following months sales. What would be the budgeted production for February? A. 186,000B. 181,000C. 222,000D. 174,000
97. The Martin Company had a finished goods inventory of 55,000 units on January 1. Its projected sales for the next four months were: January – 200,000 units; February – 180,000 units; March – 210,000 units; and April – 230,000 units. The Martin Company wishes to maintain a desired ending finished goods inventory of 20% of the following months sales. What would be the budgeted production for March? A. 256,000B. 206,000C. 214,000D. 298,000
98. The Martin Company had a finished goods inventory of 55,000 units on January 1. Its projected sales for the next four months were: January – 200,000 units; February – 180,000 units; March – 210,000 units; and April – 230,000 units. The Martin Company wishes to maintain a desired ending finished goods inventory of 20% of the following months sales. What would be the budgeted inventory for March 31st? A. 46,000B. 36,000C. Cannot be determined from the data givenD. 42,000
99. The budget that summarizes future plans for the acquisition of fixed assets is the: A. direct materials purchases budgetB. production budgetC. sales budgetD. capital expenditures budget
100. Below is budgeted production and sales information for Starlink Company for the month of December:
Product XXX
Product ZZZ
Estimated beginning inventory
30,000 units
18,000 units
Desired ending inventory
32,000 units
15,000 units
Anticipated sales
520,000 units
460,000 units
The unit selling price for product XXX is $5 and for product ZZZ is $14. Budgeted production for product XXX during the month is: A. 522,000 unitsB. 552,000 unitsC. 518,000 unitsD. 520,000 units
