a. The budgeted sales for May are computed as follows:
b. The expected cash collections for May are computed as follows:
c. The budgeted accounts receivable balance at the end of May is:
d. The budgeted required production for May is computed as follows:
*June sales of 10,100 units × 30% = 3,030 units** May sales of 10,600 units × 30% = 3,180 unitse. The budgeted raw material purchases for May are computed as follows:
* 23,260 pounds × 40% = 9,304 pounds.** 20,900 pounds × 40% = 8,360 pounds.f. The budgeted cost of raw material purchases for May is computed as follows:
g. The estimated cash disbursements for materials purchases in May is computed as follows:
h. The budgeted accounts payable balance at the end of May is:
i. The estimated raw materials inventory balance at the end of May is computed as follows:
j. The estimated direct labor cost for May is computed as follows:
k. The estimated unit product cost is computed as follows:
l. The estimated finished goods inventory balance at the end of May is computed as follows: