Above Average Glasses

Budget Information Sheet- Eyeglasses

For the Year Ending 31 December 2018

Plastic Frames Metal Frames

Budgeted Sales Price, 2018 $280.00 $350.00

Budgeted Annual Sales, Units 10,000 9,000

Budgeted Annual Production, Units 9,700 8,975

Product Specification Per Unit

Direct Materials (oz.):
Plastic (ounces) 0.5
Metal (ounces) 0.75
Glass (ounces) 1
Direct Labor (hours):
Sculpting 2 0
Molding 0 3
Finishing 0.5 0.5

Inventory, Units
Direct Materials: Beg Inv End Inv
Plastic (ounces) 600 800
Metal (ounces) 500 500
Glass (ounces) 1000 1000
Finished Goods
Plastic Framed Eyeglasses 700 400
Metal Framed Eyeglasses 400 375

Cost Assumptions: 2017 2018

Plastic, per ounce $4.95 $5.00
Metal, per ounce $6.50 $7.00
Glass, per ounce $9.75 $10.00
Sculpting Labor, per hour $8.00 $8.00
Molding Labor, per hour $8.00 $8.00
Finishing Labor, per hour $8.00 $8.00
Per Unit Cost of Plastic Framed Eyeglasses $160.85 $156.82
Per Unit Cost of Metal Framed Eyeglasses $224.96 $217.30

Non-Manufacturing Costs Variable Fixed

R&D, Design 0.023 $100,000
Marketing 0.047 475,000
 Distribution 0.032 134,000
Customer Service 0.013 82,000
Administrative 0.025 225,000
Totals 0.140 $1,016,000

Fixed Manufacturing Overhead: Total Allocation, per DMLH

Depreciation $300,000 $5.39
Property Taxes 325,000 $5.84
Property Insurance 350,000 $6.29
Plant Supervision 200,000 $3.59
Miscellaneous 150,000 $2.69
Total Fixed Mfg. Overhead $1,325,000.00 $23.80

Variable Manufacturing Overhead Total Allocation, per DMLH

Supplies $190,000.00 $3.41
Indirect Labor 330,000 $5.93
Power & Energy 500,000 $8.98
Maintenance 245,000 $4.40
Miscellaneous 178,000 $3.20
Total Variable Mfg. Overhead $1,443,000.00 $25.92

Inventory Cost- Flow Method: FIFO

Number of Full-Time Production Employees: 30
No Overtime Hours Allowed: 40 hours per week
Employees are entitled to two weeks' vacation: 50 weeks a year
Labor and Material Costs are locked in through annual contracts
All Beginning Inventory glass is allocated to the production of Plastic framed eyeglasses
All units started in productions must be completed; no WIPI allowed
 Plastic Framed Glasses
Sales Cycle Production Cycle
Jan 0.10 Jan 0.06
Feb 0.06 Feb 0.07
Mar 0.06 Mar 0.08
Apr 0.07 Apr 0.07
May 0.07 May 0.07
June 0.07 June 0.09
July 0.10 July 0.10
Aug 0.12 Aug 0.10
Sept 0.10 Sept 0.11
Oct 0.09 Oct 0.10
Nov 0.08 Nov 0.08
Dec 0.08 Dec 0.07
Total 1.00 Total 1.00

Metal Framed Glasses

Sales Cycle Production Cycle
Minimum Jan 0.09 Jan 0.07
100 Feb 0.07 Feb 0.07
100 Mar 0.06 Mar 0.06
125 April 0.08 April 0.08
May 0.06 May 0.07
June 0.08 June 0.08
July 0.08 July 0.09
Aug 0.10 Aug 0.11
Sept 0.10 Sept 0.10
Oct 0.10 Oct 0.10
Nov 0.09 Nov 0.09
Dec 0.09 Dec 0.08
Total 1.00 Total 1.00
ocation, per DMLH

ocation, per DMLH

 Above Average Glasses
Schedule 1: Annual Revenue Budget
For the Year Ending 31 December 2018

Sales Units Total

Price Sold Revenue

Plastic Framed Eyeglasses 280.00 10000.00 2800000.00

Metal Framed Eyeglasses 350.00 9000.00 3150000.00

Total 5950000.00
 Above Average Glasses
Revenue Budget Breakdown by Month
For the Year Ending 31 December 2017

January February March April

Percentage:
Plastic 0.10 0.06 0.06 0.07
Metal 0.09 0.07 0.06 0.08
Units to be Sold:
Plastic Frames 1,000 600 600 700
Metal Frames 810 630 540 720
Revenues:
Plastic Frames $280,000 $168,000 $168,000 $196,000
Metal Frames $283,500 $220,500 $189,000 $252,000
Total Revenue $563,500 $388,500 $357,000 $448,000
May June July August September October

0.07 0.07 0.10 0.12 0.10 0.09

0.06 0.08 0.08 0.10 0.10 0.10

700 700 1,000 1,200 1,000 900

540 720 720 900 900 900

$196,000 $196,000 $280,000 $336,000 $280,000 $252,000

$189,000 $252,000 $252,000 $315,000 $315,000 $315,000
$385,000 $448,000 $532,000 $651,000 $595,000 $567,000
November December Total

0.08 0.08 1.00

0.09 0.09 1.00

800 800 10,000

810 810 9,000

$224,000 $224,000 $2,800,000

$283,500 $283,500 $3,150,000
$507,500 $507,500 $5,950,000
Monthly Revenue Breakdown: Plastic
Framed Eyeglasses

Jan
Feb
Mar
8% 10% Apr
8% 6%
May
6%
9%
June
7%

10%
July
7%
Aug
12% 7%
10% Sept
Oct
Nov
Dec
 Monthly Revenue Breakdown:
Metal Framed Eyeglasses
0.12

0.10

0.08

0.06

0.04

0.02

0.00
1

January February March

April May June
July August September
October November December
Above Average Glasses
Schedule 2: Annual Production Budget (Units)
For the Year Ending 31 December 2018
Plastic Frames Metal Frames
Budgeted Unit Sales 10,000 9,000
Add Target Ending Finished Goods Inventory 400 375
Total Requirements 10,400 9,375
Deduct Beginning Finished Goods Inventory 700 400
Units to be produced 9,700 8,975
 Above Average Glasses
Production Units Budget Breakdown by Month
For the Year Ending 31 December 2018
January February March April May
Percentage:
Plastic Frames 0.06 0.07 0.08 0.07 0.07
Metal Frames 0.07 0.07 0.06 0.08 0.07
Production Units:
Plastic Frames 582.00 679.00 776.00 679.00 679.00
Metal Frames 628.25 628.25 538.50 718.00 628.25
June July August September October November December

0.09 0.10 0.10 0.11 0.10 0.08 0.07

0.08 0.09 0.11 0.10 0.10 0.09 0.08

873.00 970.00 970.00 1,067.00 970.00 776.00 679.00

718.00 807.75 987.25 897.50 897.50 807.75 718.00
Total

1.00
1.00

9,700.00
8,975.00
 Production Units Budget
Breakdown by Month for
Plastic Framed Glasses
January

February

March

April

May

June

July

August

September

October

November

December

0.00 200.00 400.00 600.00 800.00 1,000.00 1,200.00

Production Units Budget
Breakdown for Metal
Framed Glasses

January
February
March

9%
8% 7%
7% April
6%
10%
8%
May
10% 7% June
8%
11%
9% July
August
September
October
Above Average Glasses
Schedule 3A: Annual Direct Materials Usage Budget
In Quantities and Dollars
For the Year Ending 31 December 2018
Plastic Framed
Eyeglasses
Physical Units Budget: Total
Plastic 4,850
Metal 0
Glass 9,700

Cost Budget:
Available from Beginning Inventory:
Plastic $2,970
Metal 0
Glass 9,750 $12,720
To be used from purchases, current period:
Plastic $21,250
Metal 0
Glass 87000 $108,250

Direct Materials to be Used: $120,970

Metal Framed Company Total
Eyeglasses
Total
0 4,850
6,731.25 6,731.25
8,975 18,675

$0 $2,970
3,250 3250
- $3,250 $9,750 $15,970

0 $21,250
43,618.75 43,618.75
89,750 $133,368.75 176,750 $241,618.75

$136,618.75 $257,588.75
Above Average Glasses
Direct Materials Usage Budget Breakdown by Month
For the Year Ending 31 December 2018

January February
Physical Units: Plastic Frames
Plastic (ounces) 291 339.5
Glass (ounces) 582 679

Cost of Direct Materials Used

From Beginning Inventory:
Plastic $1,440.45 $1,529.55
Glass $5,674.50 $4,075.50
To Be Used From Purchases
Plastic $0.00 $152.50
Glass $0.00 $2,610.00

Totals Plastic Frames $7,114.95 $8,367.55

Physical Units: Metal Frames

Metal (ounces) 471.19 471.19
Glass (ounces) 628.25 628.25

Cost of Direct Materials Used

From Beginning Inventory:
Metal $3,062.72 $187.28
Glass $0.00 $0.00
To Be Used From Purchases
Metal $0.00 $3,096.63
Glass $6,282.50 $6,282.50

Totals Metal Frames $9,345.22 $9,566.41

Company Totals:
Physical Units:
Plastic (ounces) 291.00 339.50
Metal (ounces) 471.19 471.19
Glass (ounces) 1210.25 1307.25
Cost of Direct Materials:
From Beginning Inventory
Plastic $1,440.45 $1,529.55
Metal $3,062.72 $187.28
Glass $5,674.50 $4,075.50
To Be Used From Purchases:
Plastic $0.00 $152.50
 Metal $0.00 $3,096.63
Glass $6,282.50 $8,892.50

Totals $16,460.17 $17,933.96

March April May June July August September

388 339.5 339.5 436.5 485 485 533.5

776 679 679 873 970 970 1067

$0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00

$0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00

$1,940.00 $1,697.50 $1,697.50 $2,182.50 $2,425.00 $2,425.00 $2,667.50

$7,760.00 $6,790.00 $6,790.00 $8,730.00 $9,700.00 $9,700.00 $10,670.00

$9,700.00 $8,487.50 $8,487.50 $10,912.50 $12,125.00 $12,125.00 $13,337.50

403.88 538.50 471.19 538.50 605.81 740.44 673.13

538.50 718.00 628.25 718.00 807.75 987.25 897.50

$0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00

$0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00

$2,827.13 $3,769.50 $3,298.31 $3,769.50 $4,240.69 $5,183.06 $4,711.88

$5,385.00 $7,180.00 $6,282.50 $7,180.00 $8,077.50 $9,872.50 $8,975.00

$8,212.13 $10,949.50 $9,580.81 $10,949.50 $12,318.19 $15,055.56 $13,686.88

388.00 339.50 339.50 436.50 485.00 485.00 533.50

403.88 538.50 471.19 538.50 605.81 740.44 673.13
1314.50 1397.00 1307.25 1591.00 1777.75 1957.25 1964.50

$0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00

$0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
$0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00

$1,940.00 $1,697.50 $1,697.50 $2,182.50 $2,425.00 $2,425.00 $2,667.50

 $2,827.13 $3,769.50 $3,298.31 $3,769.50 $4,240.69 $5,183.06 $4,711.88
$13,145.00 $13,970.00 $13,072.50 $15,910.00 $17,777.50 $19,572.50 $19,645.00

$17,912.13 $19,437.00 $18,068.31 $21,862.00 $24,443.19 $27,180.56 $27,024.38

October November December Total

485 388 339.5 4850

970 776 679 9700

$0.00 $0.00 $0.00 $2,970.00

$0.00 $0.00 $0.00 $9,750.00

$2,425.00 $1,940.00 $1,697.50 $21,250.00

$9,700.00 $7,760.00 $6,790.00 $87,000.00

$12,125.00 $9,700.00 $8,487.50 $120,970.00

673.13 605.81 538.50 6731.25

897.50 807.75 718.00 8975.00

$0.00 $0.00 $0.00 $3,250.00

$0.00 $0.00 $0.00 $0.00

$4,711.88 $4,240.69 $3,769.50 $43,618.75

$8,975.00 $8,077.50 $7,180.00 $89,750.00

$13,686.88 $12,318.19 $10,949.50 $136,618.75

485.00 388.00 339.50 4850.00

673.13 605.81 538.50 6731.25
1867.50 1583.75 1397.00 18675.00

$0.00 $0.00 $0.00 $2,970.00

$0.00 $0.00 $0.00 $3,250.00
$0.00 $0.00 $0.00 $9,750.00

$2,425.00 $1,940.00 $1,697.50 $21,250.00

 $4,711.88 $4,240.69 $3,769.50 $43,618.75
$18,675.00 $15,837.50 $13,970.00 $176,750.00

$25,811.88 $22,018.19 $19,437.00 $257,588.75

 DM Usage Units Chart -
Plastic Framed Eyeglasses
1800

1600

1400

1200

1000

Glass (ounces)
800
Plastic (ounces)

600

400

200

0
 DM Usage Chart-Metal Framed Eyeglasses
1200.00

1000.00

800.00

600.00

400.00

200.00

0.00
 DM Usage Budget Monthly Breakdown-Plastic Frames ($$$)
$16,000.00

$14,000.00

$12,000.00

$10,000.00

$8,000.00

$6,000.00

$4,000.00

$2,000.00

$0.00
 DM USAGE BUDGET MONTHLY BREAKDOWN-METAL FRAMES ($$$)

$16,000.00

$14,000.00

$12,000.00

$10,000.00

$8,000.00

$6,000.00

$4,000.00

$2,000.00

$0.00
Above Average Glasses
Schedule 3B: Annual Direct Materials Purchases Budget
For the Year Ending 31 December 2018

Plastic Metal Glass

Physical Units Budget:

Production Usage 4,850 6,731.25 18,675
Add Target Ending Inventory 800 500 1000
Total Requirements 5,650 7,231.25 19,675
Deduct Beginning Inventory 600 500 1000
Purchases 5,050 6,731.25 18,675

Cost Budget:
Plastic $25,250.00
Metal $47,118.75
Glass $186,750.00
Purchases $25,250.00 $47,118.75 $186,750.00
 Total

$259,118.75
Above Average Glasses
Direct Materials Purchase Budget Breakdown by Month
For the Year Ending 31 December 2018

January February March

Physical Units for Plastic Frames:
Plastic (ounces) 0.00 130.50 388.00
Glass (ounces) 0.00 386.00 776.00
Costs for Plastic Frames:
Plastic $0.00 $652.50 $1,940.00
Glass $0.00 $3,860.00 $7,760.00

Total Cost $0.00 $4,512.50 $9,700.00

Physical Units for Metal Frames:

Metal (ounces) 0.00 542.38 403.88
Glass (ounces) 628.25 628.25 538.50
Costs for Metal Frames:
Metal $0.00 $3,796.63 $2,827.13
Glass $6,282.50 $6,282.50 $5,385.00

Total Cost $6,282.50 $10,079.13 $8,212.13

Company Total:
Physical Units
Plastic (ounces) 0.00 130.50 388.00
Metal (ounces) 0.00 542.38 403.88
Glass (ounces) 628.25 1,014.25 1,314.50

Costs:
Plastic (per ounce) $0.00 $652.50 $1,940.00
Metal (per ounce) $0.00 $3,796.63 2827.125
Glass (per ounce) $6,282.50 $10,142.50 $13,145.00

Total Cost $6,282.50 $14,591.63 $17,912.13

April May June July August

339.50 339.50 436.50 485.00 485.00

679.00 679.00 873.00 970.00 970.00

$1,697.50 $1,697.50 $2,182.50 $2,425.00 $2,425.00

$6,790.00 $6,790.00 $8,730.00 $9,700.00 $9,700.00

$8,487.50 $8,487.50 $10,912.50 $12,125.00 $12,125.00

538.50 471.19 538.50 605.81 740.44

718.00 628.25 718.00 807.75 987.25

$3,769.50 $3,298.31 $3,769.50 $4,240.69 $5,183.06

$7,180.00 $6,282.50 $7,180.00 $8,077.50 $9,872.50

$10,949.50 $9,580.81 $10,949.50 $12,318.19 $15,055.56

339.50 339.50 436.50 485.00 485.00

538.50 471.19 538.50 605.81 740.44
1,397.00 1,307.25 1,591.00 1,777.75 1,957.25

$1,697.50 $1,697.50 $2,182.50 $2,425.00 $2,425.00

$3,769.50 3298.3125 $3,769.50 4240.6875 $5,183.06
$13,970.00 $13,072.50 $15,910.00 $17,777.50 $19,572.50

$19,437.00 $18,068.31 $21,862.00 $24,443.19 $27,180.56

September October November December Total

533.50 485.00 388.00 1,039.50 5,050.00

1,067.00 970.00 776.00 1,554.00 9,700.00

$2,667.50 $2,425.00 $1,940.00 $5,197.50 $25,250.00

$10,670.00 $9,700.00 $7,760.00 $15,540.00 $97,000.00

$13,337.50 $12,125.00 $9,700.00 $20,737.50 $122,250.00

673.13 673.13 605.81 938.50 6,731.25

897.50 897.50 807.75 718.00 8,975.00

$4,711.88 $4,711.88 $4,240.69 $6,569.50 $47,118.75

$8,975.00 $8,975.00 $8,077.50 $7,180.00 $89,750.00

$13,686.88 $13,686.88 $12,318.19 $13,749.50 $136,868.75

533.50 485.00 388.00 1,039.50 5,050.00

673.13 673.13 605.81 938.50 6,731.25
1,964.50 1,867.50 1,583.75 2,272.00 18,675.00

$2,667.50 $2,425.00 $1,940.00 $5,197.50 $25,250.00

4711.875 4711.875 4240.6875 6569.5 $47,118.75
$19,645.00 $18,675.00 $15,837.50 $22,720.00 $186,750.00

$27,024.38 $25,811.88 $22,018.19 $34,487.00 $259,118.75

 DM Purchase Monthly Budget Breakdown-Plastic Frames

December

November

October

September

August

July

June

May

April

March

February

January
 DM Purchase Monthly Budget
Breakdown-Metal Frames
$16,000.00

$14,000.00

$12,000.00

$10,000.00

$8,000.00

$6,000.00

$4,000.00

$2,000.00

$0.00
January

May

September
February
March
April

June
July
August

October
November
December
 DM PURCHASE MONTHLY BUDGET BREAKDOWN-TOTAL

January February
December
March

November
April

October May

June
September

July
August
Above Average Glasses
Schedule 4: Annual Direct Manufacturing Labor Budget
For the Year Ending 31 December 2018

Plastic Framed Metal Framed

Glasses Glasses
Labor Hours Budget
Sculpting Labor Hours 19,400.00 0.00
Molding Labor Hours 0.00 26,925.00
Finishing Labor Hours 4,850.00 4,487.50
Total Hours 24,250.00 31,412.50

Labor Cost Budget

Sculpting Labor Cost $155,200.00 $0.00
Molding Labor Cost $0.00 $215,400.00
Finishing Labor Cost $38,800.00 $35,900.00
Total Cost $194,000.00 $251,300.00
 Company Total

19,400.00
26,925.00
9,337.50
55,662.50

$155,200.00
$215,400.00
$74,700.00
$445,300.00
Above Average Glasses
Direct Manufacturing Labor Budget Breakdown by Month
For the Year Ending 31 December 2018

January February March April

Plastic Frames:
Labor Hours
Sculpting 1,164.00 1,358.00 1,552.00 1,358.00
Finishing 291.00 339.50 388.00 339.50
Total Labor Hours 1,455.00 1,697.50 1,940.00 1,697.50

Labor Costs
Sculpting $9,312.00 $10,864.00 $12,416.00 $10,864.00
Finishing 2,328.00 2,716.00 3,104.00 2,716.00
Total Labor Costs $11,640.00 $13,580.00 $15,520.00 $13,580.00

Metal Frames:
Labor Hours
Molding 1,884.75 1,884.75 1,615.50 2,154.00
Finishing 314.13 314.13 269.25 359.00
Total Labor Hours 2,198.88 2,198.88 1,884.75 2,513.00

Labor Costs
Molding $15,078.00 $15,078.00 $12,924.00 $17,232.00
Finishing 2,513.00 2,513.00 2,154.00 2,872.00
Total Labor Costs $17,591.00 $17,591.00 $15,078.00 $20,104.00

Company Total:
Labor Hours
Sculpting 1,164.00 1,358.00 1,552.00 1,358.00
Molding 1,884.75 1,884.75 1,615.50 2,154.00
Finishing 605.13 653.63 657.25 698.50
Total Labor Hours 3,653.88 3,896.38 3,824.75 4,210.50

Labor Cost
Sculpting $9,312.00 $10,864.00 $12,416.00 $10,864.00
Molding $15,078.00 $15,078.00 $12,924.00 $17,232.00
Finishing 4,841.00 5,229.00 5,258.00 5,588.00
Total Labor Costs $29,231.00 $31,171.00 $30,598.00 $33,684.00
May June July August September

1,358.00 1,746.00 1,940.00 1,940.00 2,134.00

339.50 436.50 485.00 485.00 533.50
1,697.50 2,182.50 2,425.00 2,425.00 2,667.50

$10,864.00 $13,968.00 $15,520.00 $15,520.00 $17,072.00

2,716.00 3,492.00 3,880.00 3,880.00 4,268.00
$13,580.00 $17,460.00 $19,400.00 $19,400.00 $21,340.00

1,884.75 2,154.00 2,423.25 2,961.75 2,692.50

314.13 359.00 403.88 493.63 448.75
2,198.88 2,513.00 2,827.13 3,455.38 3,141.25

$15,078.00 $17,232.00 $19,386.00 $23,694.00 $21,540.00

2,513.00 2,872.00 3,231.00 3,949.00 3,590.00
$17,591.00 $20,104.00 $22,617.00 $27,643.00 $25,130.00

1,358.00 1,746.00 1,940.00 1,940.00 2,134.00

1,884.75 2,154.00 2,423.25 2,961.75 2,692.50
653.63 795.50 888.88 978.63 982.25
3,896.38 4,695.50 5,252.13 5,880.38 5,808.75

$10,864.00 $13,968.00 $15,520.00 $15,520.00 $17,072.00

$15,078.00 $17,232.00 $19,386.00 $23,694.00 $21,540.00
5,229.00 6,364.00 7,111.00 7,829.00 7,858.00
$31,171.00 $37,564.00 $42,017.00 $47,043.00 $46,470.00
October November December Total

1,940.00 1,552.00 1,358.00 19,400.00

485.00 388.00 339.50 4,850.00
2,425.00 1,940.00 1,697.50 24,250.00

$15,520.00 $12,416.00 $10,864.00 $155,200.00

3,880.00 3,104.00 2,716.00 38,800.00
$19,400.00 $15,520.00 $13,580.00 $194,000.00

2,692.50 2,423.25 2,154.00 26,925.00

448.75 403.88 359.00 4,487.50
3,141.25 2,827.13 2,513.00 31,412.50

$21,540.00 $19,386.00 $17,232.00 $215,400.00

3,590.00 3,231.00 2,872.00 35,900.00
$25,130.00 $22,617.00 $20,104.00 $251,300.00

1,940.00 1,552.00 1,358.00 19,400.00

2,692.50 2,423.25 2,154.00 26,925.00
933.75 791.88 698.50 9,337.50
5,566.25 4,767.13 4,210.50 55,662.50

$15,520.00 $12,416.00 $10,864.00 $155,200.00

$21,540.00 $19,386.00 $17,232.00 $215,400.00
7,470.00 6,335.00 5,588.00 74,700.00
$44,530.00 $38,137.00 $33,684.00 $445,300.00
 Total Labor Hours-Plastic Frames

3,000.00

2,500.00

2,000.00

1,500.00

1,000.00

500.00

0.00
1
 Total Labor Hours-Metal Frames
4,000.00

3,500.00

3,000.00

2,500.00

2,000.00

1,500.00

1,000.00

500.00

0.00
 Total Labor Dollars-Plastic Frames

7% 6%
8% 7%

8%
10%

7%

11%
7%

9%
10%
10%
 Total Labor Dollars-Metal Frames

January

8% 7% February
7% March
9%
April
6%
May
10%
8% June
July

7% August
10%
September
8% October
11%
9% November
December
 Above Average Glasses
Schedule 5: Annual Manufacturing Overhead Budget
For the Year Ending 31 December 2018

At Budgeted Level of 55,662.50

Direct Manufacturing Labor Hours
Plastic Frames
Variable Manufacturing Overhead Costs:
Supplies $82,775.66
Indirect Manufacturing labor $143,768.25
Power &Energy $217,830.68
Maintenance $106,737.03
Miscellaneous $77,547.72
Total Variable Mfg. Overhead $628,659.33

Fixed Manufacturing Overhead Cost:

Depreciation $130,698.41
Property Taxes $141,589.94
Property Insurance $152,481.47
Plant Supervision $87,132.27
Miscellaneous $65,349.20
Total Fixed Manufacturing Overhead $577,251.29

Total Manufacturing Overhead Costs $1,205,910.62

Metal Frames Company Total

$107,224.34 $190,000.00
$186,231.75 $330,000.00
$282,169.32 $500,000.00
$138,262.97 $245,000.00
$100,452.28 $178,000.00
$814,340.67 $1,443,000.00

$169,301.59 $300,000.00
$183,410.06 $325,000.00
$197,518.53 $350,000.00
$112,867.73 $200,000.00
$84,650.80 $150,000.00
$747,748.71 $1,325,000.00

$1,562,089.38 $2,768,000.00
 Above Average Glasses
Manufacturing Overhead Monthly Budget Breakdown
For the Year Ending 31 December 2018

January February March

Plastic Frames
Variable Cost:
Indirect Supplies $4,966.54 $5,794.30 $6,622.05
Indirect Mfg. Labor $8,626.09 $10,063.78 $11,501.46
Power and energy $13,069.84 $15,248.15 $17,426.45
Mfg. Maintenance $6,404.22 $7,471.59 $8,538.96
Miscellaneous $4,652.86 $5,428.34 $6,203.82
Total Variable MOH $37,719.56 $44,006.15 $50,292.75
Fixed MOH Costs:
Depreciation $7,841.90 $9,148.89 $10,455.87
Property Taxes $8,495.40 $9,911.30 $11,327.20
Property insurance $9,148.89 $10,673.70 $12,198.52
Plant Supervision $5,227.94 $6,099.26 $6,970.58
Miscellaneous $3,920.95 $4,574.44 $5,227.94
Total Fixed MOH $34,635.08 $40,407.59 $46,180.10

Total MOH $72,354.64 $84,413.74 $96,472.85

Metal Frames
Variable Costs:
Indirect Supplies $7,505.70 $7,505.70 $6,433.46
Indirect Mfg. Labor $13,036.22 $13,036.22 $11,173.91
Power and energy $19,751.85 $19,751.85 $16,930.16
Mfg. Maintenance $9,678.41 $9,678.41 $8,295.78
Miscellaneous $7,031.66 $7,031.66 $6,027.14
Total Variable MOH $57,003.85 $57,003.85 $48,860.44
Fixed Costs:
Depreciation $11,851.11 $11,851.11 $10,158.10
Property Taxes $12,838.70 $12,838.70 $11,004.60
Property insurance $13,826.30 $13,826.30 $11,851.11
Plant Supervision $7,900.74 $7,900.74 $6,772.06
Miscellaneous $5,925.56 $5,925.56 $5,079.05
Total Fixed MOH $52,342.41 $52,342.41 $44,864.92

Total MOH $109,346.26 $109,346.26 $93,725.36

Company Total
Variable MOH Costs:
Indirect Supplies $12,472.24 $13,300.00 $13,055.51
Indirect Mfg. Labor $21,662.32 $23,100.00 $22,675.36
 Power and energy $32,821.69 $35,000.00 $34,356.61
Mfg. Maintenance $16,082.63 $17,150.00 $16,834.74
Miscellaneous $11,684.52 $12,460.00 $12,230.95
Total Variable MOH $94,723.41 $101,010.00 $99,153.19

Fixed MOH Costs:

Depreciation $19,693.02 $21,000.00 $20,613.97
Property Taxes $21,334.10 $22,750.00 $22,331.80
Property insurance $22,975.19 $24,500.00 $24,049.63
Plant Supervision $13,128.68 $14,000.00 $13,742.65
Miscellaneous $9,846.51 $10,500.00 $10,306.98
Total Fixed MOH $86,977.49 $92,750.00 $91,045.03

Total MOH $181,700.89 $193,760.00 $190,198.21

April May June July August

$5,794.30 $5,794.30 $7,449.81 $8,277.57 $8,277.57

$10,063.78 $10,063.78 $12,939.14 $14,376.82 $14,376.82
$15,248.15 $15,248.15 $19,604.76 $21,783.07 $21,783.07
$7,471.59 $7,471.59 $9,606.33 $10,673.70 $10,673.70
$5,428.34 $5,428.34 $6,979.29 $7,754.77 $7,754.77
$44,006.15 $44,006.15 $56,579.34 $62,865.93 $62,865.93

$9,148.89 $9,148.89 $11,762.86 $13,069.84 $13,069.84

$9,911.30 $9,911.30 $12,743.09 $14,158.99 $14,158.99
$10,673.70 $10,673.70 $13,723.33 $15,248.15 $15,248.15
$6,099.26 $6,099.26 $7,841.90 $8,713.23 $8,713.23
$4,574.44 $4,574.44 $5,881.43 $6,534.92 $6,534.92
$40,407.59 $40,407.59 $51,952.62 $57,725.13 $57,725.13

$84,413.74 $84,413.74 $108,531.96 $120,591.06 $120,591.06

$8,577.95 $7,505.70 $8,577.95 $9,650.19 $11,794.68

$14,898.54 $13,036.22 $14,898.54 $16,760.86 $20,485.49
$22,573.55 $19,751.85 $22,573.55 $25,395.24 $31,038.63
$11,061.04 $9,678.41 $11,061.04 $12,443.67 $15,208.93
$8,036.18 $7,031.66 $8,036.18 $9,040.71 $11,049.75
$65,147.25 $57,003.85 $65,147.25 $73,290.66 $89,577.47

$13,544.13 $11,851.11 $13,544.13 $15,237.14 $18,623.18

$14,672.80 $12,838.70 $14,672.80 $16,506.91 $20,175.11
$15,801.48 $13,826.30 $15,801.48 $17,776.67 $21,727.04
$9,029.42 $7,900.74 $9,029.42 $10,158.10 $12,415.45
$6,772.06 $5,925.56 $6,772.06 $7,618.57 $9,311.59
$59,819.90 $52,342.41 $59,819.90 $67,297.38 $82,252.36

$124,967.15 $109,346.26 $124,967.15 $140,588.04 $171,829.83

$14,372.24 $13,300.00 $16,027.76 $17,927.76 $20,072.24

$24,962.32 $23,100.00 $27,837.68 $31,137.68 $34,862.32
 $37,821.69 $35,000.00 $42,178.31 $47,178.31 $52,821.69
$18,532.63 $17,150.00 $20,667.37 $23,117.37 $25,882.63
$13,464.52 $12,460.00 $15,015.48 $16,795.48 $18,804.52
$109,153.41 $101,010.00 $121,726.59 $136,156.59 $152,443.41

$22,693.02 $21,000.00 $25,306.98 $28,306.98 $31,693.02

$24,584.10 $22,750.00 $27,415.90 $30,665.90 $34,334.10
$26,475.19 $24,500.00 $29,524.81 $33,024.81 $36,975.19
$15,128.68 $14,000.00 $16,871.32 $18,871.32 $21,128.68
$11,346.51 $10,500.00 $12,653.49 $14,153.49 $15,846.51
$100,227.49 $92,750.00 $111,772.51 $125,022.51 $139,977.49

$209,380.89 $193,760.00 $233,499.11 $261,179.11 $292,420.89

September October November December Total

$9,105.32 $8,277.57 $6,622.05 $5,794.30 $82,775.66

$15,814.51 $14,376.82 $11,501.46 $10,063.78 $143,768.25
$23,961.37 $21,783.07 $17,426.45 $15,248.15 $217,830.68
$11,741.07 $10,673.70 $8,538.96 $7,471.59 $106,737.03
$8,530.25 $7,754.77 $6,203.82 $5,428.34 $77,547.72
$69,152.53 $62,865.93 $50,292.75 $44,006.15 $628,659.33

$14,376.82 $13,069.84 $10,455.87 $9,148.89 $130,698.41

$15,574.89 $14,158.99 $11,327.20 $9,911.30 $141,589.94
$16,772.96 $15,248.15 $12,198.52 $10,673.70 $152,481.47
$9,584.55 $8,713.23 $6,970.58 $6,099.26 $87,132.27
$7,188.41 $6,534.92 $5,227.94 $4,574.44 $65,349.20
$63,497.64 $57,725.13 $46,180.10 $40,407.59 $577,251.29

$132,650.17 $120,591.06 $96,472.85 $84,413.74 $1,205,910.62

$10,722.43 $10,722.43 $9,650.19 $8,577.95 $107,224.34

$18,623.18 $18,623.18 $16,760.86 $14,898.54 $186,231.75
$28,216.93 $28,216.93 $25,395.24 $22,573.55 $282,169.32
$13,826.30 $13,826.30 $12,443.67 $11,061.04 $138,262.97
$10,045.23 $10,045.23 $9,040.71 $8,036.18 $100,452.28
$81,434.07 $81,434.07 $73,290.66 $65,147.25 $814,340.67

$16,930.16 $16,930.16 $15,237.14 $13,544.13 $169,301.59

$18,341.01 $18,341.01 $16,506.91 $14,672.80 $183,410.06
$19,751.85 $19,751.85 $17,776.67 $15,801.48 $197,518.53
$11,286.77 $11,286.77 $10,158.10 $9,029.42 $112,867.73
$8,465.08 $8,465.08 $7,618.57 $6,772.06 $84,650.80
$74,774.87 $74,774.87 $67,297.38 $59,819.90 $747,748.71

$156,208.94 $156,208.94 $140,588.04 $124,967.15 $1,562,089.38

$19,827.76 $19,000.00 $16,272.24 $14,372.24 $190,000.00

$34,437.68 $33,000.00 $28,262.32 $24,962.32 $330,000.00
 $52,178.31 $50,000.00 $42,821.69 $37,821.69 $500,000.00
$25,567.37 $24,500.00 $20,982.63 $18,532.63 $245,000.00
$18,575.48 $17,800.00 $15,244.52 $13,464.52 $178,000.00
$150,586.59 $144,300.00 $123,583.41 $109,153.41 $1,443,000.00

$31,306.98 $30,000.00 $25,693.02 $22,693.02 $300,000.00

$33,915.90 $32,500.00 $27,834.10 $24,584.10 $325,000.00
$36,524.81 $35,000.00 $29,975.19 $26,475.19 $350,000.00
$20,871.32 $20,000.00 $17,128.68 $15,128.68 $200,000.00
$15,653.49 $15,000.00 $12,846.51 $11,346.51 $150,000.00
$138,272.51 $132,500.00 $113,477.49 $100,227.49 $1,325,000.00

$288,859.11 $276,800.00 $237,060.89 $209,380.89 $2,768,000.00

 Above Average Glasses
Schedule 6A:Unit Costs of Ending Inventory of Finished Goods
For the Year Ending 31 December 2018

Cost Per Cost per

Unit of Input Input Unit of Output
Plastic Frames
Direct Materials:
Plastic per ounce $5.00 $0.50 $2.50
Glass per ounce $10.00 $1.00 $10.00
Total Direct Materials

Direct Manufacturing Labor:

Sculpting Labor, per hour $8.00 $2.00 $16.00
Finishing Labor, per hour $8.00 $0.50 $4.00
Total Direct Mfg. Labor

Manufacturing Overhead $49.73 $2.50 $124.32

Total Cost Per Unit

Metal Frames
Direct Materials:
Metal Per ounce $7.00 0.75 5.25
Glass Per ounce $10.00 1 10
Total Direct Materials

Direct Manufacturing Labor:

Molding Labor, per hour $8.00 3 $24.00
Finishing Labor, per hour $8.00 0.5 $4.00
Total Direct Mfg. Labor

Manufacturing Overhead $49.73 $3.50 $174.05

Total Cost per Unit

Total

$12.50

$20.00

$124.32

$156.82

15.25

$28.00

$174.05

$217.30
Above Average Glasses
Schedule 6B: Ending Inventories Budget
For Year Ending 31 December 2017
Cost Per
Unit Units
Direct Materials:
Plastic, per ounce $5.00 $800.00 $4,000.00
Metal, per ounce $7.00 $500.00 $3,500.00
Glass, per ounce $10.00 $1,000.00 $10,000.00

Finished Goods:
Plastic Framed Eyeglasses $156.82 $400.00 $62,728.27
Metal Framed Eyeglasses $217.30 $375.00 $81,487.11

Total Ending Inventories:

Total

$17,500.00

$144,215.38

$161,715.38
Above Average Glasses
Inventories Budget Breakdown by Month - Units
For the Year Ending 31 December 2018

January February March April

Direct Material:
Plastic
Beginning 600.00 309.00 100.00 100.00
(+) Purchases 0.00 130.50 388.00 339.50
(-) Usage 291.00 339.50 388.00 339.50
Balance 309.00 100.00 100.00 100.00

Metal:
Beginning 500.00 28.81 100.00 100.00
(+) Purchases 0.00 542.38 403.88 538.50
(-) Usage 471.19 471.19 403.88 538.50
Balance 28.81 100.00 100.00 100.00

Glass:
Beginning 1,000.00 418.00 125.00 125.00
(+) Purchases 628.25 1,014.25 1,314.50 1,397.00
(-) Usage 1,210.25 1,307.25 1,314.50 1,397.00
Balance 418.00 125.00 125.00 125.00

Finished Goods:
Plastic Frames
Beginning 700.00 282.00 361.00 537.00
(+) Completions) 582.00 679.00 776.00 679.00
(-) Units Sold 1,000.00 600.00 600.00 700.00
Balance 282.00 361.00 537.00 516.00

Metal Frames:
Beginning 400.00 218.25 216.50 215.00
(+) Completions 628.25 628.25 538.50 718.00
(-) Units Sold 810.00 630.00 540.00 720.00
Balance 218.25 216.50 215.00 213.00
May June July August September

100.00 100.00 100.00 100.00 100.00

339.50 436.50 485.00 485.00 533.50
339.50 436.50 485.00 485.00 533.50
100.00 100.00 100.00 100.00 100.00

100.00 100.00 100.00 100.00 100.00

471.19 538.50 605.81 740.44 673.13
471.19 538.50 605.81 740.44 673.13
100.00 100.00 100.00 100.00 100.00

125.00 125.00 125.00 125.00 125.00

1,307.25 1,591.00 1,777.75 1,957.25 1,964.50
1,307.25 1,591.00 1,777.75 1,957.25 1,964.50
125.00 125.00 125.00 125.00 125.00

516.00 495.00 668.00 638.00 408.00

679.00 873.00 970.00 970.00 1,067.00
700.00 700.00 1,000.00 1,200.00 1,000.00
495.00 668.00 638.00 408.00 475.00

213.00 301.25 299.25 387.00 474.25

628.25 718.00 807.75 987.25 897.50
540.00 720.00 720.00 900.00 900.00
301.25 299.25 387.00 474.25 471.75
October November December Total

100.00 100.00 100.00

485.00 388.00 1,039.50 5,050.00
485.00 388.00 339.50 4,850.00
100.00 100.00 800.00

100.00 100.00 100.00

673.13 605.81 938.50 6,731.25
673.13 605.81 538.50 6,731.25
100.00 100.00 500.00

125.00 125.00 125.00

1,867.50 1,583.75 2,272.00 18,675.00
1,867.50 1,583.75 1,397.00 18,675.00
125.00 125.00 1,000.00

475.00 545.00 521.00

970.00 776.00 679.00 9,700.00
900.00 800.00 800.00 10,000.00
545.00 521.00 400.00

471.75 469.25 467.00

897.50 807.75 718.00 8,975.00
900.00 810.00 810.00 9,000.00
469.25 467.00 375.00
Above Average Glasses
Schedule 7: Annual Cost of Goods Sold Budget
For the Year Ending 31 December 2018
Plastic Frames
Beginning Finished Goods Inventory
January 1, 2017 $112,595.00
Direct Materials Used $120,970.00
Direct Manufacturing Labor $194,000.00
Manufacturing Overhead $1,205,910.62
Cost of Goods Manufactured $1,520,880.62
Cost of Goods Available For Sale $1,633,475.62
Deduct Ending Finished Goods Inventory
December 31, 2017 $62,728.27
Cost Of Goods Sold $1,570,747.35
Metal Frames Company Total

$89,984.00 $202,579.00
$136,618.75 $257,588.75
$251,300.00 $445,300.00
$1,562,089.38 $2,768,000.00
$1,950,008.13 $3,470,888.75
$2,039,992.13 $3,673,467.75

$81,487.11 $144,215.38
$1,958,505.02 $3,529,252.37
Above Average Glasses
Cost of Goods Sold Budget Breakdown by Month
For the Year Ending 31 December 2018

January February
Plastic Frames
Beginning FG Inventory $112,595.00 $43,014.64
Direct Materials Used $7,114.95 $8,367.55
Direct Mfg. Labor 11,640.00 13,580.00
Mfg. Overhead 72,354.64 84,413.74
Cost of Goods Mfd $91,109.59 $106,361.29
COG Available-Sale $203,704.59 $149,375.93
Ending FG Inventory 43,014.64 52,204.19
Cost of Goods Sold $160,689.95 $97,171.74

Metal Frames
Beginning FG Inventory $89,984.00 $44,284.47
Direct Materials Used $9,345.22 $9,566.41
Direct Mfg. Labor 17,591.00 $17,591.00
Mfg. Overhead 109,346.26 $109,346.26
Cost of Goods Mfd $136,282.48 $136,503.66
COG Available-Sale $226,266.48 $180,788.13
Ending FG Inventory 44,284.47 39,765.32
Cost of Goods Sold $181,982.01 $141,022.82

Total COGS
Beginning FG Inventory $202,579.00 $87,299.11
Direct Materials Used $16,460.17 $17,933.96
Direct Mfg. Labor 29,231.00 31,171.00
Mfg. Overhead 181,700.89 193,760.00
Cost of Goods Mfd $227,392.06 $242,864.96
COG Available-Sale $429,971.06 $330,164.06
Ending FG Inventory 87,299.11 91,969.51
Cost of Goods Sold $342,671.96 $238,194.55
 March April May

$52,204.19 $84,212.71
$9,700.00 $8,487.50 $8,487.50
15,520.00 13,580.00 13,580.00
96,472.85 84,413.74 84,413.74
$121,692.85 $106,481.24
$173,897.04 $190,693.95
84,212.71 80,919.47
$89,684.34 $109,774.48

$39,765.32 $46,719.28
$8,212.13 $10,949.50 $9,580.81
15,078.00 $20,104.00 $17,591.00
93,725.36 $124,967.15 $109,346.26
$117,015.49 $156,020.65
$156,780.80 $202,739.93
46,719.28 46,284.68
$110,061.53 $156,455.25

$91,969.51 $130,931.98
$17,912.13 $19,437.00 $18,068.31
30,598.00 33,684.00 31,171.00
190,198.21 209,380.89 193,760.00
$238,708.34 $262,501.89
$330,677.85 $393,433.88
130,931.98 127,204.15
$199,745.87 $266,229.73
May June July

$80,919.47 $77,626.24 $104,756.22

$10,912.50 $12,125.00
17,460.00 19,400.00
108,531.96 120,591.06
$106,481.24 $136,904.46 $152,116.06
$187,400.72 $214,530.69 $256,872.28
77,626.24 104,756.22 100,051.60
$109,774.48 $109,774.48 $156,820.68

$46,284.68 $65,461.31 $65,026.71

$10,949.50 $12,318.19
$20,104.00 $22,617.00
$124,967.15 $140,588.04
$136,518.07 $156,020.65 $175,523.23
$182,802.75 $221,481.96 $240,549.94
65,461.31 65,026.71 84,094.70
$117,341.44 $156,455.25 $156,455.25

$127,204.15 $143,087.55 $169,782.93

$21,862.00 $24,443.19
37,564.00 42,017.00
233,499.11 261,179.11
$242,999.31 $292,925.11 $327,639.29
$370,203.46 $436,012.65 $497,422.22
143,087.55 169,782.93 184,146.29
$227,115.91 $266,229.73 $313,275.93
 August September October

$100,051.60 $63,982.84
$12,125.00 $13,337.50 $12,125.00
19,400.00 21,340.00 19,400.00
120,591.06 132,650.17 120,591.06
$152,116.06 $167,327.67
$252,167.66 $231,310.51
63,982.84 74,489.82
$316,150.50 $156,820.68

$84,094.70 $103,054.03
$15,055.56 $13,686.88 $13,686.88
$27,643.00 $25,130.00 $25,130.00
$171,829.83 $156,208.94 $156,208.94
$214,528.39 $195,025.81
$298,623.09 $298,079.84
103,054.03 102,510.78
$195,569.06 $195,569.06

$184,146.29 $167,036.87
$27,180.56 $27,024.38 $25,811.88
47,043.00 46,470.00 44,530.00
292,420.89 288,859.11 276,800.00
$366,644.46 $362,353.48
$550,790.75 $529,390.35
167,036.87 177,000.61
$383,753.88 $352,389.74
October November December

$74,489.82 $85,467.27 $81,703.58

$9,700.00 $8,487.50
15,520.00 13,580.00
96,472.85 84,413.74
$152,116.06 $121,692.85 $106,481.24
$226,605.89 $207,160.12 $188,184.82
85,467.27 81,703.58 62,728.27
$141,138.61 $125,456.55 $125,456.55

$102,510.78 $101,967.53 $101,478.61

$12,318.19 $10,949.50
$22,617.00 $20,104.00
$140,588.04 $124,967.15
$195,025.81 $175,523.23 $156,020.65
$297,536.60 $277,490.77 $257,499.26
101,967.53 101,478.61 81,487.11
$195,569.06 $176,012.15 $176,012.15

$177,000.61 $187,434.81 $183,182.19

$22,018.19 $19,437.00
38,137.00 33,684.00
237,060.89 209,380.89
$347,141.88 $297,216.08 $262,501.89
$524,142.48 $484,650.89 $445,684.08
187,434.81 183,182.19 144,215.38
$336,707.67 $301,468.70 $301,468.70
 Total

$112,595.00
$120,970.00
194,000.00
1,205,910.62
$1,520,880.62
$1,633,475.62
62,728.27
$1,570,747.35

$89,984.00
$136,618.75
251,300.00
1,562,089.38
$1,950,008.13
$2,039,992.13
81,487.11
$1,958,505.02

$202,579.00
$257,588.75
445,300.00
2,768,000.00
$3,470,888.75
$3,673,467.75
144,215.38
$3,529,252.37
 COGS Monthly Budget
Breakdown-Plastic Frames
350000
$316,150.50

300000

250000

200000
$160,689.95 $156,820.68
$156,820.68
150000 $141,138.61
$125,456.55
$125,456.55
$109,774.48
$109,774.48
$109,774.48
$97,171.74
100000 $89,684.34

50000

0
 COGS Monthly Budget
Breakdown-Metal
Frames
250000

$195,569.06
$195,569.06
$195,569.06
200000
$181,982.01
$176,012.15
$176,012.15

$156,455.25
$156,455.25
$156,455.25
150000 $141,022.82

$117,341.44
$110,061.53

100000

50000

0
Above Average Glasses
Schedule 8: Non-Manufacturing Costs Budget
For the Year Ending 31 December 2018

Variable Fixed Total

Value-Chain Function: Costs Costs Costs

R&D/Product Design $136,850.00 $100,000 $236,850.00

Marketing 279,650.00 475,000 754,650.00
Distribution 190,400.00 134,000 324,400.00
Customer Service 77,350.00 82,000 159,350.00
Administrative 148,750.00 225,000 373,750.00
Totals $833,000.00 $1,016,000 $1,849,000.00
Above Average Glasses
Non-Manufacturing Budget Breakdown by Month
For the Year Ending 31 December 2018

January February March April

Variable Costs:
R&D, Design $12,960.50 $8,935.50 $8,211.00 $10,304.00
Marketing 26,484.50 18,259.50 16,779.00 21,056.00
Distribution 18,032.00 12,432.00 11,424.00 14,336.00
Customer Service 7,325.50 5,050.50 4,641.00 5,824.00
Administrative 14,087.50 9,712.50 8,925.00 11,200.00
Total Variable $78,890.00 $54,390.00 $49,980.00 $62,720.00

Fixed Costs:
R&D, Design $8,333.33 $8,333.33 $8,333.33 $8,333.33
Marketing 39,583.33 39,583.33 39,583.33 39,583.33
Distribution 11,166.67 11,166.67 11,166.67 11,166.67
Customer Service 6,833.33 6,833.33 6,833.33 6,833.33
Administrative 18,750.00 18,750.00 18,750.00 18,750.00
Total Fixed $84,666.67 $84,666.67 $84,666.67 $84,666.67

Total Costs:
R&D, Design $21,293.83 $17,268.83 $16,544.33 $18,637.33
Marketing 66,067.83 57,842.83 56,362.33 60,639.33
Distribution 29,198.67 23,598.67 22,590.67 25,502.67
Customer Service 14,158.83 11,883.83 11,474.33 12,657.33
Administrative 32,837.50 28,462.50 27,675.00 29,950.00
Total Costs $163,556.67 $139,056.67 $134,646.67 $147,386.67
May June July August September

$8,855.00 $10,304.00 $12,236.00 $14,973.00 $13,685.00

18,095.00 21,056.00 25,004.00 30,597.00 27,965.00
12,320.00 14,336.00 17,024.00 20,832.00 19,040.00
5,005.00 5,824.00 6,916.00 8,463.00 7,735.00
9,625.00 11,200.00 13,300.00 16,275.00 14,875.00
$53,900.00 $62,720.00 $74,480.00 $91,140.00 $83,300.00

$8,333.33 $8,333.33 $8,333.33 $8,333.33 $8,333.33

39,583.33 39,583.33 39,583.33 39,583.33 39,583.33
11,166.67 11,166.67 11,166.67 11,166.67 11,166.67
6,833.33 6,833.33 6,833.33 6,833.33 6,833.33
18,750.00 18,750.00 18,750.00 18,750.00 18,750.00
$84,666.67 $84,666.67 $84,666.67 $84,666.67 $84,666.67

$17,188.33 $18,637.33 $20,569.33 $23,306.33 $22,018.33

57,678.33 60,639.33 64,587.33 70,180.33 67,548.33
23,486.67 25,502.67 28,190.67 31,998.67 30,206.67
11,838.33 12,657.33 13,749.33 15,296.33 14,568.33
28,375.00 29,950.00 32,050.00 35,025.00 33,625.00
$138,566.67 $147,386.67 $159,146.67 $175,806.67 $167,966.67
October November December Total

$13,041.00 $11,672.50 11672.5 $136,850.00

26,649.00 23,852.50 23852.5 279,650.00
18,144.00 16,240.00 16240 190,400.00
7,371.00 6,597.50 6597.5 77,350.00
14,175.00 12,687.50 12687.5 148,750.00
$79,380.00 $71,050.00 71050 $833,000.00

$8,333.33 $8,333.33 $8,333.33 $100,000.00

39,583.33 39,583.33 39,583.33 475,000.00
11,166.67 11,166.67 11,166.67 134,000.00
6,833.33 6,833.33 6,833.33 82,000.00
18,750.00 18,750.00 18,750.00 225,000.00
$84,666.67 $84,666.67 $84,666.67 $1,016,000.00

$21,374.33 $20,005.83 $20,005.83 $236,850.00

66,232.33 63,435.83 63,435.83 754,650.00
29,310.67 27,406.67 27,406.67 324,400.00
14,204.33 13,430.83 13,430.83 159,350.00
32,925.00 31,437.50 31,437.50 373,750.00
$164,046.67 $155,716.67 $155,716.67 $1,849,000.00
Above Average Glasses
Schedule 9: Budgeted Income Statement
For the Year Ending 31 December 2018

Revenues $5,950,000.00
Cost of Goods Sold $3,529,252.37
Gross Margin $2,420,747.63
Non-Manufacturing Costs:
R&D/Product Design $236,850.00
Marketing Costs 754,650.00
Distribution Costs 324,400.00
Customer Service Costs 159,350.00
Administrative Costs 373,750.00 $1,849,000.00
Operating Income $571,747.63
Above Average Glasses
Budgeted Income Statement Breakdown by Month
For the Year Ending 31 December 2018

January February March April

Revenues $563,500.00 $388,500.00 $357,000.00 $448,000.00

Cost of Goods Sold $342,671.96 $238,194.55 $199,745.87 $266,229.73
Gross Margin $220,828.04 $150,305.45 $157,254.13 $181,770.27
Non-Manufacturing Costs:
R&D, Design $21,293.83 $17,268.83 $16,544.33 $18,637.33
Marketing 66,067.83 57,842.83 56,362.33 60,639.33
Distribution 29,198.67 23,598.67 22,590.67 25,502.67
Customer Service 14,158.83 11,883.83 11,474.33 12,657.33
Administrative 32,837.50 28,462.50 27,675.00 29,950.00
Total Operating Costs $163,556.67 $139,056.67 $134,646.67 $147,386.67
Operating Income $57,271.38 $11,248.78 $22,607.47 $34,383.61
May June July August September

$385,000.00 $448,000.00 $532,000.00 $651,000.00 $595,000.00

$227,115.91 $266,229.73 $313,275.93 $383,753.88 $352,389.74
$157,884.09 $181,770.27 $218,724.07 $267,246.12 $242,610.26

$17,188.33 $18,637.33 $20,569.33 $23,306.33 $22,018.33

57,678.33 60,639.33 64,587.33 70,180.33 67,548.33
23,486.67 25,502.67 28,190.67 31,998.67 30,206.67
11,838.33 12,657.33 13,749.33 15,296.33 14,568.33
28,375.00 29,950.00 32,050.00 35,025.00 33,625.00
$138,566.67 $147,386.67 $159,146.67 $175,806.67 $167,966.67
$19,317.42 $34,383.61 $59,577.40 $91,439.45 $74,643.59
October November December Total

$567,000.00 $507,500.00 $507,500.00 $5,950,000.00

$336,707.67 $301,468.70 $301,468.70 $3,529,252.37
$230,292.33 $206,031.30 $206,031.30 $2,420,747.63

$21,374.33 $20,005.83 $20,005.83 $236,850.00

66,232.33 63,435.83 63,435.83 754,650.00
29,310.67 27,406.67 27,406.67 324,400.00
14,204.33 13,430.83 13,430.83 159,350.00
32,925.00 31,437.50 31,437.50 373,750.00
$164,046.67 $155,716.67 $155,716.67 $1,849,000.00
$66,245.66 $50,314.63 $50,314.63 $571,747.63
 Operating Income by Month

$100,000.00
$91,439.45

$90,000.00

$80,000.00

$70,000.00 $74,643.59

$59,577.40
$60,000.00 $57,271.38 $66,245.66

$50,000.00
$50,314.63

$40,000.00 $50,314.63
$34,383.61$34,383.61

$30,000.00
$22,607.47
$19,317.42
$20,000.00
$11,248.78
$10,000.00

$0.00
1

January February March April

May June July August
September October November December