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Note: I need a step by step answer to the following question. It has a part A and part B. Hot Coffee Manufacturing produces and sells oak tables. The budgeted manufacturing costs per table are as

Note: I need a step by step answer to the following question. It has a part A and part B.

Hot Coffee Manufacturing produces and sells oak tables. The budgeted manufacturing costs per table are as follows:

Direct costs

Oak top 48 square feet at $10 per sq. ft.

Table legs 4 legs at $5 per leg

Direct labor is 3 hours and 24 minutes per table at $15 per hour.

The variable overhead rate is $6 per direct labor hour and the fixed overhead rate is $8 per direct labor hour.

Inventories are expected to be as follows:

 

Beginning

Target Ending

Direct Materials

   

Oak tops

500

550

Table legs

240

200

Finished Goods

20 tables

30 tables

 

Budgeted Sales for May, Year 18 are expected to be 2,000 tables. Selling prices are budgeted to be $600 per table.

A. For May Year 18, prepare a

a. Sales Budget.

b. Production Budget in units

c. Direct materials budget in units and in dollars

d. Manufacturing Labor Budget

e. Overhead Budget

B. Refer to A above, the company expects to have beginning cash of $150,000 on May 1, Year 18. In addition to the above expenditures, the company is expected to have the following expenses the income statement:

a. Selling Expenses 24,000

b. Administrative Expenses 16,000

c. Depreciation 20,000

Prepare a cash budget for May Year 18

Jun 24 2021 View more View Less

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