Business, 24.04.2020 23:27 chevalieriiim006
Deleon Inc. is preparing its annual budgets for the year ending December 31, 2017. Accounting assistants furnish the data shown below. Product JB 50 Product JB 60 Sales budget: Anticipated volume in units 403,400 201,800 Unit selling price $22 $27 Production budget: Desired ending finished goods units 27,500 17,200 Beginning finished goods units 32,800 13,800 Direct materials budget: Direct materials per unit (pounds) 2 3 Desired ending direct materials pounds 31,100 17,800 Beginning direct materials pounds 42,600 12,000 Cost per pound $2 $3 Direct labor budget: Direct labor time per unit 0.3 0.6 Direct labor rate per hour $10 $10 Budgeted income statement: Total unit cost $13 $22 An accounting assistant has prepared the detailed manufacturing overhead budget and the selling and administrative expense budget. The latter shows selling expenses of $662,000 for product JB 50 and $361,000 for product JB 60, and administrative expenses of $541,000 for product JB 50 and $345,000 for product JB 60. Interest expense is $150,000 (not allocated to products). Income taxes are expected to be 30%.
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Deleon Inc. is preparing its annual budgets for the year ending December 31, 2017. Accounting assist...
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