Prepare the revenues and direct materials usage budget

Reference no: EM131893113

Problem

Kaizen Furniture has the following information in respect to coffee tables for 2011: Production specifications: Beginning Target Ending Inventory Inventory Direct Materials: Particle board 20,000 b.f. 18,000 b.f. Red oak 25,000 b.f. 22,000 b.f. Finished goods Coffee tables 5,000 units 3,000 units Revenue expected for 2011 are: Selling price $392 per table Units sold 52,000 coffee tables Each coffee table requires 9.00 b.f. of particle board and 10.00 b.f. of red oak. Costs expected for 2011 include: 2010 2011 Particle board (per b.f.) $ 3.90 $ 4.00 Red oak (per b.f.) $ 5.80 $ 6.00 Laminating labor (per hour) $24.00 $25.00 Machining labor (per hour) $29.00 $30.00 Prepare the following budgets for 2011:

a. Revenues Budget

b. Production Budget (in units)

c. Direct Materials Usage Budget.

Reference no: EM131893113

Questions Cloud

What is minimum acceptable total revenue from order : What were total production costs? What is the marginal cost per pair? What is the average cost per pair? What is minimum acceptable total revenue from order?

Identify the objective of financial reporting : Identify the objective of financial reporting. Describe level of sophistication expected of users of financial information by objective of financial reporting.

Which alternative would you recommend : Three Bags Full is a small grocery store chain in the Lehigh Valley. The company is trying to decide whether to include a bakery section in its stores.

What terms and conditions are essential in the contracts : What terms and conditions are essential in the contracts and/or purchase agreements you will have for each product? Assume necessary details.

Prepare the revenues and direct materials usage budget : Prepare the Revenues Budget, Production Budget (in units) and Direct Materials Usage Budget for 2011.

What are the best points of the article : Three (3) recent articles (2015-2017) about improvement of healthcare institution. Discuss the following; What are the best points of the article?

How can the assignment of overhead costs affect : Discuss the method you have chosen and include some advantages and disadvantages of this method.

How do you think that this is a threat to the resturant : Panera Bread has very limited resturants within the US and Canada. How do you think that this is a threat to the resturant?

Identify the driving forces behind each identified use : Identify four distinct uses of information technology in the healthcare industry. Identify the driving forces behind each identified use of technology.

User Account

All Pages