Garrison-Noreen-Brewer:

Managerial Accounting, 12th Edition

The McGraw-Hill Companies, 2008

That is correct! Here is the additional information you will need. How can I get the template to you?

Error!! PLEASE MAKE A NOTE OF THIS: In the Case 9-23, page 415, chapter 9, the sentence that says "the company has an agreement with a bank that allows the company to borrow in increments of $1,000 at the beginning of each month, up to a total loan balance of $40,000"....should READ: "the company has an agreement with a bank that allows the company to borrow in increments of $1,000 at the beginning of each month, up to a total loan balance of $400,000".....Please make a note of this and let me know your questions!!!

As for the Cash Budget, I'll start you off with a few of the answers to get you going. If you still have problems, please ask specific questions. These are all answers for April:
Cash balance, beginning. $14,000
Add receipits from customers (part 1b) $230,000
Total cash $244,000
Purchase of Inventory $195,750
Sales commissions $35,000
Salaries and wages $22,000
Utilities $14,000
Misc $3,000
Dividends paid $12,000
Land purchases $0
Excess (deficiency of receipts over disbursements $(37,750

For the schedule of expected cash collections:
We know from the text that that the February sales was $192,000 so the expected cash collections would be $48K in Feb (192*25%), $96k in March (192*50%) and $48K in April. In March the sales were $224,000 ($8*28,000). The expected cash in March was $56K, in April $112K and in May $56K, etc.

For the budgeted cash disbursements for merchandise purchases:
Purchases are paid 50% in the month of purchase and the remaining 50% in the following month. The ties cost $5 each.
For April, we calculated we need to purchase 44,000 units at a cost of $5 each for a total of $220,000. 50% of that is charged to the April purchases $110,000 and 50% to the May purchases for $110,000.

The following data (in thousands of dollars) have been taken from the accounting records of Larop Corporation for the just completed year:

Required: Prepare a Schedule of Cost of Goods Manufactured in the text box below.

A tile manufacturer has supplied the following data:

Boxes of tile produced and sold 580,000

Sales revenue $2,842,000

Variable manufacturing expense $1,653,000

Fixed manufacturing expense $784,000

Variable selling and admin expense $145,000

Fixed selling and admin expense $128,000

Net operating income $132,000

Required:

a. Calculate the company's unit contribution margin

b. Calculate the company's unit contribution ratio

c. If the company increases its unit sales volume by 5% without increasing its fixed expenses, what would the company's net operating income be?

I came out with $590. What did I do wrong? Take a look!

Direct Materials
Begining raw materials inventory..................10
Add: Purchases of raw materials................190
Raw materials available for use...................200
Deduct: Ending raw materials inventory.........10
Raw materials used in production.................190
Direct Labor....................................................200
Manufacturing overhead...............................230
Total overhead cost.......................................230
Total manufacturing costs................................620
Add: Beginning wip inventory..............................20
640
Deduct: Ending wip inventory.............................50
COGM $590

I will just give you $30 for the help. You are worth it, There were four actual problems. I did the one correctly. Just to save me time, this is the last one so I can try to figure out the multiple choice questions.

The company produces the same number of units every month, although the sales in units vary from month to month. The company's variable costs per unit and total fixed costs have been constant from month to month.

Required:

a. What is the unit product cost for the month under variable costing?
b. What is the unit product cost for the month under absorption costing?
c. Prepare an income statement for the month using the variable costing method.
d. Prepare an income statement for the month using the absorption costing method.

When manufacturing overhead is applied to production, it is added to: (Points: 6)
the Cost of Goods Sold account
the Raw Materials account
the Work in Process account
the Finished Goods inventory account

I CHOSE WIP ACCOUNT. I BELIEVE THAT IS CORRECT?

You have Here is one and the rest is blank?

Property taxes on a company's factory building would be classified as a(n): (Points: 6)
product cost
opportunity cost
period cost
variable cost
sunk cost

I CHOSE PRODUCT COST SINCE THIS IS AN INDIRECT COST

Fixed costs expressed on a per unit basis:

(Points: 6)
will increase with increases in activity.
will decrease with increases in activity.
are not affected by activity.
should be ignored in making decisions since they cannot change.

I CHOSE WILL DECREASE WITH INCREASES IN ACTIVITY

When manufacturing overhead is applied to production, it is added to: (Points: 6)
the Cost of Goods Sold account
the Raw Materials account
the Work in Process account
the Finished Goods inventory account

I CHOSE WIP ACCOUNT. I BELIEVE THAT IS CORRECT?

The variable portion of the cost of electricity for a manufacturing plant is a:

(Points: 6)
Conversion YES... Period NO
Conversion YES .... Period YES
Conversion NO.... Period YES
Conversion NO.... Period NO

I DO NOT KNOW

Within the relevant range, variable costs can be expected to:

(Points: 6)
vary in total in direct proportion to changes in the activity level.
remain constant in total as the activity level changes.
increase on a per unit basis as the activity level increases.
increase on a per unit basis as the activity level decreases.
none of these.

DO NOT KNOW

Under a job-order costing system, the dollar amount transferred from Work in Process to Finished Goods is the sum of the costs charged to all jobs: (Points: 6)
started in process during the period
in process during the period
completed and sold during the period
completed during the period

I CHOSE STARTED IN PROCESS DURING THE PERIOD

Equivalent units for a process costing system using the FIFO method would be equal to: (Points: 6)
units completed during the period plus equivalent units in the ending work in process inventory
units started and completed during the period plus equivalent units in the ending work in process inventory
units completed during the period and transferred out
units started and completed during the period plus equivalent units in the ending work in process inventory plus work needed to complete units in the beginning work in process inventory


3. The contribution margin equals: (Points: 6)
Sales - expenses
Sales- cost of goods sold
Sales - variable costs
Sales - fixed costs


4. The break-even point in unit sales is found by dividing total fixed expenses by: (Points: 6)
the contribution margin ratio
the variable expenses per unit
the sales price per unit
the contribution margin per unit


5. In an income statement prepared using the variable costing method, fixed selling and administrative expenses would: (Points: 6)
be used in the computation of the contribution margin
be used in the computation of net operating income but not in the computation of the contribution margin
be treated the same as variable manufacturing expenses
not be used

STILL WORKING ON THESE, I HAVE 26 MINS REMAINING

NOT YET, JUST THE ONES I ALREADY ANSWERED. LET ME KNOW IF I AM CORRECT

MY ANSWERS ARE IN BOLD:

1. Under a job-order costing system, the dollar amount transferred from Work in Process to Finished Goods is the sum of the costs charged to all jobs: (Points: 6)
started in process during the period
in process during the period
completed and sold during the period
completed during the period


2. Equivalent units for a process costing system using the FIFO method would be equal to: (Points: 6)
units completed during the period plus equivalent units in the ending work in process inventory
units started and completed during the period plus equivalent units in the ending work in process inventory
units completed during the period and transferred out
units started and completed during the period plus equivalent units in the ending work in process inventory plus work needed to complete units in the beginning work in process inventory


3. The contribution margin equals: (Points: 6)
Sales - expenses
Sales- cost of goods sold
Sales - variable costs
Sales - fixed costs


4. The break-even point in unit sales is found by dividing total fixed expenses by: (Points: 6)
the contribution margin ratio
the variable expenses per unit
the sales price per unit
the contribution margin per unit


5. In an income statement prepared using the variable costing method, fixed selling and administrative expenses would: (Points: 6)
be used in the computation of the contribution margin
be used in the computation of net operating income but not in the computation of the contribution margin
be treated the same as variable manufacturing expenses
not be used

UNSURE ABOUT 1 AND 4; 9 MINS LEFT!!!

1.

The variable portion of the cost of electricity for a manufacturing plant is a:

Fixed costs expressed on a per unit basis:

Within the relevant range, variable costs can be expected to:

No worries...the rest are correct! I am 99% sure of that. Thank you again!