A) A sales budget by Quarter and in Total

Given

Budgeted sales in unit

Sailing price Br. 20 P/unit

Quarter 2014 Quarter2015

St
1 2Nd 3Rd 4Th
5Th 6Th
Budgeted Sales 10,000 30,000 40,000 20,000 15,000 15,000
Sales Price P/unit X 20 X 20 X 20 X 20 X 20 X 20
Total 200,000 600,000 800,000 400,000 300,0000 300,000

G.TOTAL = 2,600,000.00

B) A schedule of budgeted cash collection by quarter and in total

Given
90,000 Beginning Balance of 1st Quarter
30% of sales are collected in the next quarter
70% of sales collected in the quarter

Quarter 2014 Quarter2015

St
1 2Nd 3Rd 4Th
5Th 6Th
30% from last 90,000 60,000 180,000 140,000 120,000 90,000
month
70% from current 140,000 420,000 560,000 280,000 210,000 210,000
Quarter
Total 230,000 480,000 740,000 520,000 330,000 300,000

1
C) Production Budget

Given
Units on hand 2,000
Ending inventory 20% of the next quarter sales

Quarter 2014 Quarter2015

St
1 2Nd 3Rd 4 Th
5Th 6Th
Sales budget in unit 10,000 30,000 40,000 20,000 15,000 15,000
Less beginning inventory (2,000) (6,000) (8,000) (4,000) (3,000) (3,000)
Ending inventory 6,000 8,000 4,000 3,000 3,000 ---
Total 14,000 32,000 36,000 19,000 15,000 12,000

D) A direct material Purchase budget

Given
15 pounds Row materials P/unit
21,000 Beginning inventory
Ending inventory 10% of the next quarter production
.20 Row material cost p/pound

Quarter 2014 Quarter2015

St
1 2Nd 3Rd 4Th
5Th 6Th
Production in put 14,000 32,000 36,000 19,000 15,000 12,000
Pound P/unit X 15 X 15 X 15 X 15 X 15 X 15
Row material 210,000 480,000 540,000 285,000 225,500 180,000
Less Beginning (21,000) (47,000) (54,000) (28,500) (22,500) (18,000)
inventory 189,000 432,000 486,000 257,000 202,500 162,000
Add Ending 48,000 54,000 28,500 22,500 18,000 -----------
Inventory 237,000 486,000 514,000 279,000 220,000 162,000
Cost p/pound x.20 x.20 x.20 x.20 x.20 x.20
Total 47,400 97,200 102,900 55,800 44,100 32,400

2
 G.TOTAL = 379,800.00
E) A schedule of budgeted cash payment for purchases, by quarter
and in total.

Given
Beginning inventory 25,800
50% of Row material purchases paid in the Quarter
The reminder is paid in the next Quarter

Quarter 2014 Quarter2015

St
1 2Nd 3Rd 4Th
5Th 6Th
Beginning Inventory for 25,800 23,700 46,100 51,450 27,900 22,050
the last month
50% of current paid 23,700 46,100 51,450 27,900 22,050 16,200
Total 49,500 69,800 97,550 79,350 49,950 38,250

F) Direct labor budget

Given
Production /unit Requires 0,8 hour
Labor cost p/h 7.50

Quarter 2014 Quarter2015

St
1 2Nd 3Rd 4Th
5Th 6Th
Product budget 14,000 32,000 36,000 19,000 15,000 12,000
Labor time p/u X 0.8 X 0.8 X 0.8 X 0.8 X 0.8 X 0.8
Labor time /quantity 11,200 25,600 28,000 15,200 12,000 9,600
Labor cost p/h X 7.50 X 7.50 X 7.50 X 7.50 X 7.50 X 7.50
Total 84,000 192,000 216,000 114,000 90,000 72,000

3
G.TOTAL = 768,000.00