Questions: Budgeted income statement and disposing layouts a. Estimated sales for January: Bird house 15,000 units at 25 per unit Bird feeder 45,000 units at 35 per unit b. Estimated inventories at January 1: Direct materials: Wood 600 lbs Plastic 1,000 lbs Finished products: Bird house 1,000 units at 15 per unit Bird feeder 2,500 units at 20 per unit c. Desired inventories at January 31: Direct materials: Plastic 2,250 lbs Finished products: Bird house 2,600 units at 15 per unit Bird feeder 1,000 units at 20 per unit d. Anticipated cost of purchases and beginning and ending inventory of direct materials: Wood 1250 per lb. Plastic 10 per lb. e. Direct labor requirements: Bird House Fabrication Department 0.25 hrs at 18 per hr Assembly Department 0.20 hrs at 12 per hr Bird Feeder Fabrication Department 0.25 hrs at 18 per hr Assembly Department 0.10 hrs at 12 per hr f. Estimates for factory overhead costs for January: Indirect factory wages Depreciation of plant and equipment Power and light Insurance and property tax 82,000 20,000 10,000 8,000

Budgeted income statement and disposing layouts a. Estimated sales for January: Bird house 15,000 units at 25 per unit Bird feeder 45,000 units at 35 per unit b. Estimated inventories at January 1: Direct materials: Wood 600 lbs Plastic 1,000 lbs Finished products: Bird house 1,000 units at 15 per unit Bird feeder 2,500 units at 20 per unit c. Desired inventories at January 31: Direct materials: Plastic 2,250 lbs Finished products: Bird house 2,600 units at 15 per unit Bird feeder 1,000 units at 20 per unit d. Anticipated cost of purchases and beginning and ending inventory of direct materials: Wood 1250 per lb. Plastic 10 per lb. e. Direct labor requirements: Bird House Fabrication Department 0.25 hrs at 18 per hr Assembly Department 0.20 hrs at 12 per hr Bird Feeder Fabrication Department 0.25 hrs at 18 per hr Assembly Department 0.10 hrs at 12 per hr f. Estimates for factory overhead costs for January: Indirect factory wages Depreciation of plant and equipment Power and light Insurance and property tax 82,000 20,000 10,000 8,000
Transcript text: Budgeted income statement and disposing layouts a. Estimated sales for January: Bird house 15,000 units at $25 per unit Bird feeder 45,000 units at $35 per unit b. Estimated inventories at January 1: Direct materials: Wood 600 lbs Plastic 1,000 lbs Finished products: Bird house 1,000 units at $15 per unit Bird feeder 2,500 units at $20 per unit c. Desired inventories at January 31: Direct materials: Plastic 2,250 lbs Finished products: Bird house 2,600 units at $15 per unit Bird feeder 1,000 units at $20 per unit d. Anticipated cost of purchases and beginning and ending inventory of direct materials: Wood $1250 per lb. Plastic $10 per lb. e. Direct labor requirements: Bird House Fabrication Department 0.25 hrs at $18 per hr Assembly Department 0.20 hrs at $12 per hr Bird Feeder Fabrication Department 0.25 hrs at $18 per hr Assembly Department 0.10 hrs at $12 per hr f. Estimates for factory overhead costs for January: Indirect factory wages Depreciation of plant and equipment Power and light Insurance and property tax $82,000 $20,000 $10,000 $8,000
failed

Solution

failed
failed

Solution Steps

Step 1: Calculate the Direct Labor Hours for Birdhouse

The problem states that the Birdhouse requires 0.35 hr in the Fabrication Department and 0.20 hr in the Assembly Department. We are given that the estimated sales for Birdhouses are 15,000 units.

Fabrication Department: 15,000 units * 0.35 hr/unit = 5,250 hours Assembly Department: 15,000 units * 0.20 hr/unit = 3,000 hours

Step 2: Calculate Direct Labor Hours for Bird Feeder

The problem states that the Bird Feeder requires 0.25 hr in the Fabrication Department and 0.10 hr in the Assembly Department. We are given that the estimated sales for Bird Feeders are 45,000 units.

Fabrication Department: 45,000 units * 0.25 hr/unit = 11,250 hours Assembly Department: 45,000 units * 0.10 hr/unit = 4,500 hours

Step 3: Calculate Total Direct Labor Hours for Each Department

We add the hours calculated in the previous steps for each department.

Fabrication Department Total: 5,250 hours + 11,250 hours = 16,500 hours Assembly Department Total: 3,000 hours + 4,500 hours = 7,500 hours

Final Answer

| | Fabrication Department | Assembly Department | Total | |--------------------------|-----------------------|--------------------|-------| | Hours required for production: | | | | | Bird house | 5,250 | 3,000 | | | Bird feeder | 11,250 | 4,500 | | | Total | 16,500 | 7,500 | | | Hourly rate $ | \$18 | \$12 | | | Total direct labor cost | \$297,000 | \$90,000 | \$387,000 |

Was this solution helpful?
failed
Unhelpful
failed
Helpful

Questions asked by other users

failedAnswered
If z is a standard normal variable, find the probability that z lies between -2.41 and 0. Round to four decimal places. A. 0.5080 B. 0.4920 C. 0.0948 D. 0.4910
failedAnswered
n = (P V) / (R T) * (1.017 atm)(1.0^2 c) / (0.0221 atm/m.k)(3461 t) = 1.03734
failedAnswered
A datum is different from data as a term in that a datum refers to one score.
failedAnswered
y 8 6 4 2 x -6 -4 -3 -2 -1 1 2 3 4 5 -2 -4 -6 -8
failedAnswered
Complete the input-output table: n 3n-7 1 2 3