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Category > Management Posted 25 Oct 2017 My Price 8.00

Goldstein Inc.

25.     LO.3 (Production and related schedules) Goldstein Inc. manufactures and sells plastic boxes and trays. Sales are projected to be evenly spread over the annual period. Estimated product sales and material needs for each unit of product follow.

Boxes                         Trays

 

Annual sales                42,000                       30,000

Material A                     2.0 pounds                1.0 pound

Material B                     1.5 pounds                0.8 pounds

Direct labor                   0.3 hours                    0.2 hour

Overhead is applied at a rate of $1.60 per direct labor hour.

 

Excel

 

 

 

Expected Beginning Inventories

Desired Ending Inventories

Material A Material B Boxes Trays

1,780 pounds

5,000 pounds

1,200 units

800 units

1,500 pounds

1,400 pounds

1,800 units

650 units

Material A costs $0.05 per pound, and Material B costs $0.07 per pound. Prepare the following information:

a.     Production schedule by product and in total.

b.    Purchases budget in units by raw material, in total, and in dollars.

c.     Direct labor budget in hours by product, in total, and in dollars. The average direct labor wage rate is $9.50 per hour.

d.    Overhead to be charged to production by product and in total.

 

 

Answers

Maurice Tutor
(5)
Status NEW Posted 25 Oct 2017 02:10 PM My Price 8.00

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