Chapter 9-39 Excel Template

Problem 09-39

Student Name: Class:

EDGEWORTH BOX CORPORATION Master Budget 1. Sales Budget: Box C Sales (in units) Sales price per unit Sales revenue

Box P * * *

* * *

2. Production Budget (in units): Box C Sales Add: Desired ending inventory Total units needed Deduct: Beginning inventory Production requirements

Box P * * * * *

* * * * *

3. Raw material budget: PAPERBOARD Box C Production requirements (number of boxes) Raw material required per box (pounds) Raw material required for production (pounds) Add: Desired ending raw-material inventory Total raw-material needs Deduct: Beginning raw-material inventory Raw material to be purchased Price (per pound) Cost of purchases (paperboard)

Box P * * *

* * *

CORRUGATING MEDIUM Box C Production requirements (number of boxes) Raw material required per box (pounds) Raw material required for production (pounds) Add: Desired ending raw-material inventory Total raw-material needs Deduct: Beginning raw-material inventory Raw material to be purchased Price (per pound) Cost of purchases (corrugating medium)

Box P * * *

* * *

Total cost of raw-material purchases

4. Direct labor budget: Box C Production requirements (number of boxes) Direct labor required per box (hours) Direct labor required for production (hours) Direct-labor rate Total direct-labor cost

Box P * * *

5. Manufacturing overhead budget: Indirect material Indirect labor Utilities Property taxes Insurance Depreciation Total overhead

* * * * * * *

6. Selling and administrative expense budget: Salaries and fringe benefits of sales personnel Advertising Management salaries and fringe benefits Clerical wages and fringe benefits Miscellaneous administrative expenses Total selling and administrative expenses

* * * * * *

7. Budgeted income statement: Sales revenue Less: Cost of goods sold:* Box C Box P Gross margin Selling and administrative expenses Income before taxes Income tax expense Net income *Calculation of cost of goods sold: (a) Predetermined overhead rate Budgeted manufacturing overhead rate Volume of direct-labor hours Rate per hour

* * *

* * *

* * *

* * * * * *

(b) Calculation of manufacturing cost per unit: Box C Direct material Paperboard Corrugating medium Direct labor Applied manufacturing overhead Manufacturing cost per unit

Box P * * * * *

* * * * *

Total

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Total

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Total

* * * * * * *

*

Total

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