Prepare direct materials for March & April Prepare direct labor budgets for Marc
ID: 2404720 • Letter: P
Question
Prepare direct materials for March & April Prepare direct labor budgets for March & April Omamental Sculptures Mig manufactures garden sculptures. Each sculpture requires 9 pounds of direct materials at a cost of $3 per pound and 0.4 direct labor hours at a rate of $14 per hour. Variable manufacturing overhead is charged at a rate of $2 per direct labor hour Fixed manufacturing overhead is $4700 per month The company's policy is to maintaindirect materials inventory equal to 30% of the next month's materials requirement. At the end of February the company had 5,180 pounds of direct materials in inventory. The company's production budget reports the following Production Budget March April May Units to be produced 3, 600 5,400 ,100 (1) Prepare direct materials budgets for March and April. (2) Prepare direct labor budgets for March and April. (3) Prepare factory overhead budgets for March and April. Complete this question by entering your answers in the tabs below Required 1 Required 2 Required 3 Prepare direct materials budgets for March and April. ORNAMENTAL SCULPTURES MFG. Direct Materials Budget C Prev 7 of 12 Next >Explanation / Answer
Direct Materials Budget For the month of March and April March April Budgeted production(units) 3,600 5,400 5,100 materials requirements per units(lbs) 9 9 9 materials needed for production (lbs) 32400 48600 45900 budgeted ending inventory (lbs) 14580 13770 total material requirement (lbs) 46980 62370 budgeted beginning inventory (lbs) 5,180 14,580 materials to be purchased (lbs) 41,800 47,790 direct material cost per lb 3 3 total budgeted direct materials 125400 143370 Direct labor budget march april Budgeted production (units) 3,600 5,400 DL hours required per unit 0.4 0.4 total direct labor hours needed 1440 2160 direct labor rate per hour 14 14 total budgeted direct labor 20160 30240 Factory overhead budget March April total direct labor hours needed 1440 2160 VOH rate per DL hour 2 2 budgeted variable overhead 2880 4320 budgeted fixed overhead 4700 4,700 total budgeted factory overhead 7580 9020