Please do Part B Exercise 2T-6(Part Level Submission) On January 1, 2017, the Ha

Question

Please do Part B

Exercise 2T-6(Part Level Submission) On January 1, 2017, the Hardin Company budget committee has reached agreernent on the follawing data for the 6 months ending une 30, 2017 Seles units: Ending raw materials inventory: 40% of the next quarter's production requirements Ending finished goods inventory: 25% of the next quarter's expected sales units First quarter 5,100; second quarter 6,800: third quarter 7,300 7,390 units The ending raw materials and finished goods inventories at December 31, 201G, follow the same percentage relationships to production and sales that occur in 2017.4 pounds of raw materials are required to make each unit of finished goods. Raw materials purchased are expected to cost $5 per pound Your answer is correct. Prepare a production budgat by quartars for the 6-month pariad ended June 30, 2017. HARDIN COMPANY Production Budget Quarter 100 C0 1825 00 8625 Bned 2s8 unas 200 13 uired Hinished Geods Une70o uired Production 3529 692 12450 Attempts:1 of 3 used Propare a direct materials budget by quarters for the 6-month period ended June 30, 2017. DIN COMPANY Direct Materials Budget Six Months

Explanation / Answer

Direct Material Budget Particular Quarter-1 Quarter-2 Six Month Production Unit                       5,525 6925      12,450 Raw material Rquired for Prodcution 1of Unit @ 4 Pound/Unit                    22,100      27,700      49,800 Add: Ending Inventory ( in Pound) 40% of Next Quarter                    11,080 11824 11824 Total Needs in Pound                    33,180      39,524      61,624 Less Beginning Inventory (in Pound)                       8,840      11,080 8840 Total Raw Material Purchase ( Pound)                    24,340      28,444      52,784 Price/Pound $5.00 $5.00 $5.00 Total Raw Material Purchase Cost $121,700 $142,220 $263,920

Related Questions

Navigate

• Browse (All)
• Browse P
• Subjects

---