Budgeted Income Statement and Supporting Budgets The budget director of Birds of

ID: 2513452 • Letter: B

Question

Budgeted Income Statement and Supporting Budgets

The budget director of Birds of a Feather Inc., with the assistance of the controller, treasurer, production manager, and sales manager, has gathered the following data for use in developing the budgeted income statement for January:

a. Estimated sales for January:

b. Estimated inventories at January 1:

c. Desired inventories at January 31:

d. Direct materials used in production:

e. Anticipated cost of purchases and beginning and ending inventory of direct materials:

f. Direct labor requirements:

g. Estimated factory overhead costs for January:

h. Estimated operating expenses for January:

i. Estimated other income and expense for January:

j. Estimated tax rate: 30%

Bird house 6,000 units at $55 per unit Bird feeder 4,500 units at $75 per unit 1. Prepare a sales budget for January. Birds of a Feather Inc. Sales Budget For the Month Ending January 31 Unit Sales Volume Unit Selling Price Total Sales Bird house Bird feeder Total revenue from sales 2. Prepare a production budget for January. Birds of a Feather Inc. Production Budget For the Month Ending January 31 Units Bird House Bird Feeder Expected units to be sold Plus desired inventory, January 31 Total Less estimated inventory, January 1 Total units to be produced