Question :
26) For next year, Manzo, Inc., has budgeted sales of : 1217235
26) For next year, Manzo, Inc., has budgeted sales of 30,000 units, target ending finished goods inventory of 1,500 units, and beginning finished goods inventory of 900 units. All other inventories are zero. How many units should be produced next year?
A) 29,400 units
B) 30,000 units
C) 30,600 units
D) 32,400 units
27) Wilcox Company has budgeted sales volume of 60,000 units and budgeted production of 54,000 units, while 10,000 units are in beginning finished goods inventory. How many units are targeted for ending finished goods inventory?
A) 10,000 units
B) 16,000 units
C) 6,000 units
D) 4,000 units
Answer the following questions using the information below:
Kason, Inc., expects to sell 20,000 pool cues for $24.00 each. Direct materials costs are $4.00, direct manufacturing labor is $8.00, and manufacturing overhead is $1.60 per pool cue. The following inventory levels apply to 2011:
Beginning inventoryEnding inventory
Direct materials24,000 units24,000 units
Work-in-process inventory0 units0 units
Finished goods inventory2,000 units2,500 units
28) On the 2012 budgeted income statement, what amount will be reported for sales?
A) $492,000
B) $480,000
C) $624,000
D) $636,000
29) How many pool cues need to be produced in 2012?
A) 22,500 cues
B) 22,000 cues
C) 20,500 cues
D) 19,500 cues
30) On the 2012 budgeted income statement, what amount will be reported for cost of goods sold?
A) $278,800
B) $272,000
C) $265,200
D) $306,000
31) What are the 2012 budgeted costs for direct materials, direct manufacturing labor, and manufacturing overhead, respectively?
A) $0; $192,000; $38,400
B) $78,000; $156,000; $31,200
C) $160,000; $80,000; $32,000
D) $82,000; $164,000; $32,800
Answer the following questions using the information below:
Elton, Inc., expects to sell 6,000 ceramic vases for $40 each. Direct materials costs are $4, direct manufacturing labor is $20, and manufacturing overhead is $6 per vase. The following inventory levels apply to 2011:
Beginning inventoryEnding inventory
Direct materials1,000 units1,000 units
Work-in-process inventory0 units0 units
Finished goods inventory400 units500 units
32) On the 2012 budgeted income statement, what amount will be reported for sales?
A) $244,000
B) $236,000
C) $280,000
D) $240,000
33) How many ceramic vases need to be produced in 2012?
A) 5,900 vases
B) 6,100 vases
C) 7,000 vases
D) 6,000 vases
34) On the 2012 budgeted income statement, what amount will be reported for cost of goods sold?
A) $183,000
B) $210,000
C) $180,000
D) $177,000
35) What are the 2012 budgeted costs for direct materials, direct manufacturing labor, and manufacturing overhead, respectively?
A) $24,400; $122,000; $36,600
B) $24,000; $120,000; $36,000
C) $4,000; $20,000; $6,000
D) $4,000; $0; $9,000
Answer the following questions using the information below:
The following information pertains to the January operating budget for Casey Corporation, a retailer:
Budgeted sales are $200,000 for January
Collections of sales are 50% in the month of sale and 50% the next month
Cost of goods sold averages 70% of sales
Merchandise purchases total $150,000 in January
Marketing costs are $3,000 each month
Distribution costs are $5,000 each month
Administrative costs are $10,000 each month
