Sales, Production, Direct Materials Purchases, and Direct Labor Cost Budgets The

Question

Sales, Production, Direct Materials Purchases, and Direct Labor Cost Budgets The budget director of Royal Furniture Company requests estimates of sales, production, and other operating data from the various administrative units every month Selected information concerning sales and production for February 2016 is summarized as follows a. Estimated sales of King and Prince chairs for February by sales territory: Northern Domestic: 610 units at $780 per unit 750 units at $550 per unit King Prince Southern Domestic: 340 units at $780 per unit 440 units at $550 per unit King Prince International 360 units at $850 per unit 290 units at $600 per unit King Prince

Explanation / Answer

(1) Sales Budget:

(2) Production Budget:

(3) Direct material Purchase Budget:  

(4) Direct labour Cost Budget

Expected Sales budget for the month of February Proiduct & Area Unit sale volume Unit Selling price ($) Total sales ($) (A) King Chair Northen Domestic 610 780 475800 Southern Domestic 340 780 265200 International 360 850 306000 Total revenue (King Chairs) 1,047,000 (B) Prince Chair Northen Domestic 750 550 412500 Southern Domestic 440 550 242000 International 290 600 174000 Total revenue (Prince Chairs) 828,500 Total Revenue from Sales. (A+B) 1,875,500

Related Questions

Navigate

• Browse (All)
• Browse S
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.