Question : 138.Zhang Industries budgets production of 300 units in June and : 1236728

 

138.Zhang Industries budgets production of 300 units in June and 310 units in July. Each unit requires 1.5 hours of direct labor. The direct labor rate if $14 per hour. The indirect labor rate is $21.00 per hour. Compute the budgeted direct labor cost for July.   

A.$6,300.

B.$6,510.

C.$9,450.

D.$9,765.

E.$16,275.

310 * 1.5 * $14 = $6,510

139.Zhang Industries is preparing a cash budget for June. The company has $25,000 cash at the beginning of June and anticipates $95,000 in cash receipts and $111,290 in cash disbursements during June. The company has no loans outstanding on June 1. Compute the amount the company must borrow, if any, to maintain a $20,000 cash balance.    

A.$28,710.

B.$12,290.

C.$16,290.

D.$11,290.

E.$6,290.

140.Webster Corporation’s budgeted sales for February are $325,000. Webster pays sales representatives a commission of 6% of sales dollars. The company pays a sales manager a monthly salary of $4,400 and expects advertising expense of $2,000 per month. Compute the total selling expenses to be reported on the selling expense budget for the month of February.   

A.$19,500.

B.$6,400.

C.$23,900.

D.$25,900.

E.$21,500.

141.Webster Corporation is preparing a master budget for the first quarter of the year. The company budgets production of 2,680 units in January, 2,600 units in February and 2,740 units in March. Each unit requires 0.6 hours of direct labor. The direct labor rate is $12 per hour. Compute the budgeted direct labor cost for the first quarter budget.   

A.$56,160.

B.$57,744.

C.$96,240.

D.$93,600.

E.$48,120.

142.Webster Corporation’s monthly projected general and administrative expenses include $5,000 administrative salaries, $2,400 of other cash administrative expenses, $1,350 of depreciation expense, and 0.5% monthly interest on an outstanding bank loan of $10,000. Compute the total general and administrative expenses to be reported on the general and administrative expense budget per month.   

A.$17,400.

B.$7,400.

C.$7,450.

D.$5,050.

E.$8,800.

143.Webster Corporation is preparing its cash budget for April. The March 31 cash balance is $36,400. Cash receipts are expected to be $641,000 and cash payments for purchases are expected to be $608,500. Other cash expenses expected are $27,000 selling and $33,500 general and administrative. The company desires a minimum cash balance at the end of each month of $30,000. If necessary, the company borrows enough cash to meet the minimum using a short-term note. Webster’s preliminary cash balance before loan activity for April is expected to be:   

A.$8,400.

B.$21,600.

C.$30,000.

D.($28,000).

E.$68,900.

144.Flagstaff Company has budgeted production units for July of 7,900 units. Variable factory overhead is $1.20 per unit. Budgeted fixed factory overhead is $19,000, which includes $3,000 of factory equipment depreciation. Compute the total budgeted overhead to be reported on the factory overhead budget for the month.   

A.$25,480.

B.$19,000.

C.$23,900.

D.$28,480.

E.$9,480.

145.Flagstaff Company has budgeted production units of 7,900 for July and 8,100 for August. The direct materials requirement per unit is 2 ounces. The company has determined that it wants to have safety stock of direct materials on hand at the end of each month to complete 20% of the units budgeted in the following month. There was 3,160 ounces of direct material in inventory at the start of July. The total amount direct materials in ounces to be purchased in July is.    

A.15,800.

B.16,200.

C.19,040.

D.15,880.

E.15,720.

146.Flagstaff Company has budgeted production units of 7,900 for July and 8,100 for August. The direct materials requirement per unit is 2 ounces. The company has determined that it wants to have safety stock of direct materials on hand at the end of each month to complete 20% of the units budgeted in the following month. There was 3,160 ounces of direct material in inventory at the start of July. The total cost of direct materials purchases for the July direct materials budget, assuming the materials cost $1.15 per ounce, is:    

A.$18,262.

B.$21,896.

C.$14,536.

D.$18,078.

E.$18,170.

147.Flagstaff Company has budgeted production units of 7,900 for July and 8,100 for August. The direct labor requirement per unit is 0.50 hours. Labor is paid at the rate of $21 per hour. The total cost of direct labor for the month of August is:    

A.$82,950.

B.$4,050.

C.$85,050.

D.$3,950.

E.$168,000.

148.On its December 31, 2014, balance sheet, Calgary Industries reports equipment of $370,000 and accumulated depreciation of $74,000. During 2015, the company plans to purchase additional equipment costing $80,000 and expects depreciation expense of $30,000. Additionally, it plans to dispose of equipment that originally cost $42,000 and had accumulated depreciation of $5,600. The balances for equipment and accumulated depreciation, respectively, on the December 31, 2015 budgeted balance sheet are:    

A.$328,000; $74,000.

B.$450,000; $98,400.

C.$450,000; $104,000.

D.$408,000; $104,000.

E.$408,000; $98,400.

149.Calgary Industries is preparing a budgeted income statement for 2015 and has accumulated the following information. Predicted sales for the year are $730,000 and cost of goods sold is 40% of sales. The expected selling expenses are $81,000 and the expected general and administrative expenses are $90,000, which includes $23,000 of depreciation. The companies income tax rate is 30%. The budgeted net income for 2015 is:    

A.$438,000.

B.$186,900.

C.$267,000.

D.$84,700.

E.$80,100.

150.Grason Corporation is preparing a budgeted balance sheet for 2015. The retained earnings balance at December 31, 2014 was $533,500. The 2015 budgeted income statement shows expected net income of $112,000. The company expects to declare dividends during 2015 amounting to $40,000. The expected balance in retained earnings on the 2015 budgeted balance sheet is:    

A.$533,500.

B.$605,500.

C.$645,500.

D.$493,500.

E.$685,500.