Reference no: EM133921567

Problem

Wimborne Ltd (WL) is a mid-sized manufacturing firm based in Birmingham, UK, producing and selling two consumer tech products: the Pulse wearable fitness tracker and the ChargeX smart charging station. As part of WL's strategic planning, the finance team is preparing a master budget for August 2025. WL expects August sales volumes to increase by 5% compared to July 2025 figures. July 2025 Sales Forecast: Product Pulse ChargeX Units 2,000 1,200 WL targets an opening inventory of finished goods equal to one-third of August's projected sales and aims to reduce closing inventory by 10% from opening levels. Raw Materials Required per Unit: Material Pulse ChargeX X1 3 4 Z5 5 2 i. The opening inventory for both X1 and Z5 is anticipated to be 50% of August's usage, while the closing inventory for X1 will be 481 units less than its opening inventory, and Z5's closing inventory will be 293 units less than its opening. ii. Material costs are set at £9 per unit for X1 and £14 per unit for Z5. iii. Each unit of Pulse is expected to require 1.8 direct labour hours, while each ChargeX unit will demand 2.5 direct labour hours; both are calculated based on an hourly wage rate of £12.50. Get the instant assignment help.

Task

Prepare the following components of Wimborne Ltd's for August 2025:

1. Production Budget for Pulse and ChargeX (units)
2. Material Usage Budget for Materials X1 and Z5 (units)
3. Material Purchase Budget for Materials X1 and Z5 (£)
4. Labour Budget showing total labour hours and associated cost (£)