BUDGETING

4) _ Expected sales: 48000 units

_ beginning inventory: 21000 units

_ desired ending inventory: 15500 units

Budgeted sales: 48000

Add: desired ending inventory: 15500

Total need: 63500

Less: Beginning inventory: 21000

Required production:42500

6) _ Direct materials purchases for May were $100000

_ Expected direct material purchases for June and July are $110000 and
$125000.

_All direct materials are paid 25% in the month of purchase and 75% the
following moth.

 The budget payment for the month of June :

=25%*$100000+75%*$110000= $107500

7) Expected Cash collection for credit sale:

For November is $20000* 10%= $2000

For October is $19000*60%= 11400

For September is $13000*20%= 2600

=> 2000+11400+2600= 16000

8) Production: 100000

LESS: Desired ending inventory : 32000

Total need:132000

ADD: beginning inventory:40000

$ 92000

 FORCASTED SALE: $108000 *15 = $1620000

9) The account receivable on July 31 is $480000*50%*80%= 192000 ( nếu đề cho

cash và phần trăm của nó thì phải tính thêm cash của tháng trước)

12) The cash payment for inventory in August budgeted is $56000*30%+

$43000*50% + $50000*20%= $48300

15) Beginning inventory a

Purchased ____

Cost of goods sold(COGS) 300000

Ending inventory 80%*a

 P= 80%*a-a+COGS
( NÀY LÀ SỐ ÂM NHE )

16) THE PRODUCTION BUDGET :

Budgeted Sales: 2300 units

Add: Desired ending 1500 units

Inventory

Total needs 3800 units

Less: Beginning 850 units

Inventory

2950 units
17) SELLING AND ADMINISTRATIVE EXPENSE BUDGET

Budgeted Sales 5000 units

Variable selling and $8.5

administrative expense

Variable rate $42500

Fixed rate $47000

Total S&A $89500

Less: noncash $7000

Cash S&A $82500

18) Sales of June: $40000

Sales of July: $50000

Sales of August: $60000

Sales of cash =40%

Sales of credit = 60%

Because all credit sales are collected in the month following the sale => so the
expected collection of July is the sum up of sales of June on credit and sales of July
on cash.

Sales of June: 40%* 40000= 16000 (cash)

60%*40000 =24000(credit)

Sales of July: 40%*50000=20000(cash)

60%*50000=30000 (credit)

22) Budget cash sale in August is: $12000+$12000*10%=13200

Budget cash sale in September is: $13200+$13200*10%=$14520

 Credit sale in August is: $4000 +$4000*25%= $5000

Credit sale in September is :$5000+ $5000*25%= $6250

25) Sales of September is :$300000*80%*50%=120000(credit)

Sales of September is: $280000 * 20%= 56000(cash)

Sales of October is :$280000*80%*50%=112000(credit)

288000

26) We have that Margo ‘s ending finished goods inventory is budgeted to 20% of
the following month sales ( ending inventory tháng 7 sẽ bằng 20 % lượng sale
tháng sau đó, đồng thời cũng là beginning inventory ). Bài nào có ending và
beginning inventory => mình xài công thức : beginning inventory + purchase –
COGS= ending inventory

Beginning inventory + Production (Purchase) -COGS= ending inventory

= 2000*20% + _________________ - 2000 = 2500*20%

 Production (Purchase ) = 2100

Direct labor cost ( tổng chi phí nhân công ) = 2100*10*$15 = $315000

28) Beginning inventory : $120000

Purchase :$105000

COGS :________ ( direct material requisition- gía về vật liệu

Được yêu cầu )

Ending inventory :$129000

=>COGS =Beginning inventory +Purchase-Ending inventory

= $96000

We have that the direct material requisitioned purchases average 75% of direct
material purchase ( giá về vật liệu mua thực tế )
=>COGS=75% budgeted sale

=> Budgeted sale = 96000: 75%=128000

29) Beginning inventory + Production (Purchase ) – COGS = Ending inventory

= 1000 * 20% +__________-10000 = 1000*20%

+1000*20%* 20*

=> Production is

30) Cost of goods sold is the direct cost of producing the goods sold by the
company, which includes the cost of material and labor to create the good

The budgeted sale provides the estimate of the volume of goods and service
that the company propose to sell in a future period.

COGS= 65% budgeted sale=260000

COGS 260000

Add: Ending 72000

Inventory

Less: Beginning 80000

Inventory

Budgeted Production 252000

31) Beginning inventory 42000 units

Purchase ___?_____

Cost of goods sold 96000(Expects sales)

Ending inventory 31000

 Purchase = 85000

33) Budgeted cash in August is 12000+ 12000* 20%= 14400

Budgeted cash in September is 14400+ 14400*20%= 17280

  Budgeted cash sale =31680

Budget credit sale in August is 4000-4000*10%= 3600

Budget credit sale in September is 3600-3600*10%= 3240

 Budgeted credit sale =6840

34) We have that Margo‘s ending inventory goods inventory is budgeted to be

20% of the following months sales .

Beginning inventory + Production( Purchase) – COGS = Ending inventory

=2000* 20% +____________________ _ 2000 = 2500 *20%

 Production = 2100
Total Needs : 2100 *20*$3.75 = $157500

FLEXIBLE BUDGET AND STANDARD COSTING:

5) Material Quantity Variance (MQV)

= Actual Quantity * Standard Price – Standard Quantity* Standard Price

= _________ *0.50 - 1200*50*0.50 = 3000

 Actual Quantity = 66000

6) Labor Rate Variance (LRV)

= Actual Quantity *Actual Price- Actual Quantity * Standard Price

= 1350*_________ - 1350 * $8.00 = $405

  Actual Price = $8.3

8) Material Price Variance (MPV)

= Actual Quantity * Actual Price – Actual Quantity *Quantity Price

= 10000 *$10.5 - 10000* $11.75= $12500

 Favorable

12) Labor Efficiency Variance (LEV)

= Actual Quantity *Standard Price – Standard Quantity * Standard Price

= 2*250*$12 - 475*$12 = 300

 Unfavorable

15) Labor Efficiency Variance (LEV)

=Actual Quantity *Standard Price – Standard Quantity* Standard Price

= (AQ- SQ)* SP

= (2500-3*800)*SP= $1300

 SP= $13

16) Material Quantity Variance (MQV)

=Actual Quantity * Standard Price – Standard Quantity * Standard Price

= 10000*$11.75 _ 9900*$11.75 = 1175

 Unfavorable

19) Material Price Variance (MPV)

= Actual Quantity * Actual Price – Actual Quantity *Standard Price

= 50*1000 *(29160:54000) _ 50*1000* $0.5 =2000

 Unfavorable

23) Labor Rate Variance (LRV)

= Actual Quantity * Actual Price –Actual Quantity*Standard Price

= 475*$12.50 _ 475* $12.00= $237.5

 Unfavorable

27) Material Price Variance (MPV)

=Actual Quantity *Actual Price –Actual Quantity *Standard Price

=64000* ___________ - 64000*0.5= $3200

 Actual price = $0.5

29) Labor rate variance (LRV)

= Actual Quantity *Actual Price – Actual Quantity * Standard Price

= 1.5*500*22 _ 1.5*500*$20 =1500

 Unfavorable

THE MANAGERIAL ACCOUNTING EXAM

TRIAL V1:
 TASK 1 : ENDING FINISHED GOOD INVENTORY:
Direct Material $9
Direct Labor $7
Manufacturing Overhead $4
Selling and Administrative Overhead $7
( luôn lấy từ variable cost)

 UNIT PRODUCT COST $27

THE BUDGETED INCOME STATEMENT: = revenue + variable exp-
fixed exp

Sales 3500*$30

Cost of good sold ( giá thực tế) 3500*27

Gross Margin 10500

Operating income ( luôn lấy từ Fixed cost )

Manufacturing overhead 10000

Selling and administrative overhead 6000

Net income (loss) (5500)

TASK 2:

MAKE BUY

Direct Material $108000

Direct Labor $300000

Variable manufacturing overhead $72000

Fixed manufacturing overhead $90000

Opportunities cost $80000

the facilities now being used to manufacture the lens could be rented to another
company at an annual rental of $80,000 )

Cost of purchasing $630000

Total cost $650000 $630000