AP Chapter 9 Assignment
Jasper Coils manufactures components for electrical transformers. An average transformer requires 45 yards of copper wire. Jasper plans to manufacture 240 transformers this month and 250 transformers next month. The company requires ending inventory equal to 10% of the next month's production. How many yards of wire does it need to purchase this month?
10,845
A budget that is based on research and analysis will likely result in a budget that
closely represents the company's actual results.
The event that will have the least impact on the sales budget is
the increased cost of shipping.
Sophia, Inc., is preparing its cash budget for the fourth quarter. The inventory manager advises that materials purchases will be $40,000 in October and will increase by 25% for each month thereafter because of the holiday season. Sophia's purchases in September were $32,000. Sophia pays for purchases 50% in the month after sale and 50% in the second month after the sale. What are Sophia's budgeted cash payments for purchases in November?
$36,000
Which of the following companies is likely to have the least formal budget process?
Betty's Bakery, a small-town bakery that has been open for three years
On September 1, 2015, Barclay Spa borrowed $500,000 to renovate the massage therapy area of the facility. The terms of the loan were 6% annually over 10 years. Determine how the accrued interest would appear on Barclay's budgeted balance sheet at December 31, 2015.
Interest Payable - $10,000
Rose Company is preparing its direct labor budget for May. Projections for the month show that 8,350 units are to be produced and that direct labor time is 3 hours per unit. If the direct labor cost per hour is $9, what is the total budgeted direct labor cost for May?
$225,450
Alonzo Company expects to produce 5,000 units in the first quarter of 2022, and they expect that to increase by 5% in each succeeding quarter. Each unit requires 1.5 labor hours at a cost of $13 per hour. What will Alonzo's direct labor costs be for the year? (Round each quarter's production to the nearest whole number when determining your answer.)
$420,264.00