JDR$ Money Changer

Direct Labor Budget (in millions)

For the Year Ending 31 December 2018

Quarter
1 2 3 4 Total
Units to be Produced 800 900 500 400 2 600
Direct Labor Hours per x3 x3 x3 x3 x3
Unit
Total Hours 2 400 2 700 1 500 1 200 7 800
Direct Labor Cost per x5 x5 x5 x5 x5
Hour
Total Direct Labor Cost ₱12 000 ₱13 500 ₱7 500 ₱6 000 ₱39 000

Sobredo, Darwin R.

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Factory Overhead Budget (in millions)
For the Year Ending 31 December 2018

Quarter Total
1 2 3 4

Budgeted Direct Labor 2 400 x 3 2 700 x 3 1 500 x 3 1 200 x 3 7 800 x 3

Hours
Variable Overhead
Variable Overhead ₱7 200 ₱8 100 ₱4 500 ₱3 600 ₱23 400
Budgeted
Fixed Overhead Budgeted ₱7 000 ₱7 000 ₱7 000 ₱7 000 ₱28 000

Total Budgeted Overhead ₱14 200 ₱ 15 100 ₱ 11 500 ₱10 600 ₱51 400

Less: Depreciation ₱5 000 ₱5 000 ₱5 000 ₱5 000 ₱20 000

Cash Disbursement for ₱9 200 ₱10 100 ₱6 500 ₱5 600 ₱31 400
Overhead

Assumptions:

1. The variable overhead is at ₱3 per direct labor hour

2. Fixed overhead budget is at ₱7 000 per quarter
3. Depreciation is at ₱5 000

Sobredo, Darwin R.

12- Browning
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Selling and Administrative Expense Budget (in millions)
For the Year Ending 31 December 2018

Quarter Total
1 2 3 4
Expected Sales in Units 800 x 3 900 x 3 500 x 3 400 x 3 2 600 x 3
Variable Selling and
Administrative Expense per
Unit
Budgeted Variable Expense ₱2 400 ₱2 700 ₱1 500 ₱1 200 ₱7 800
Fixed Selling and
Administrative Expenses:
Advertising ₱1 000 ₱1 000 ₱1 000 ₱ 1 000 ₱4 000
Insurance 3 000 3 000
Salaries (admin) 9 000 9 000 9 000 9 000 36 000
Rent 1 000 1 000 1 000 1 000 4 000
Taxes 5 000 5 000

Budgeted Fixed Expense ₱19 000 ₱11 000 ₱11 000 ₱11 000 ₱52 000
Total Budgeted Selling and ₱21 400 ₱13 700 ₱12 500 ₱12 200 ₱59 800
Administrative Expenses

Sobredo, Darwin R.

12- Browning