Prepare production budget for the first quarter


Assignment Problem: Master Budget-partial

Jonas Product produces shoes. The projected sales for the first quarter of the coming year and the beginning and ending inventory data are as follow:

Unit sales 100.000

Unit price Rp 15

Units in beginning inventory 8.000

Units in targeted ending inventory 12.000

The shoes are knitting and decorate. Each shoe needs 4 pounds of skin, which cost Rp 2.5/pound. The beginning inventory of material is 4.000 pounds. Jonas Product want to have 6.000 pounds of skin in inventory at the end of quarter. Each shoe produced requires 30 minutes of Direct Labor Time, which is billed ar Rp14/hour.

Required:

a. Prepare sales budget for the first quarter.

b. Prepare production budget for the first quarter.

c. Prepare direct material purchases budget for the first quarter.

d. Prepare direct labor purchases budget for the first quarter.

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Accounting Basics: Prepare production budget for the first quarter
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