Scribd
Upload
315 views6 pages

Acct 2020 Excel Master Budget

The document provides a master budget for a company for the quarter ending March 31. It includes sales, production, materials, labor, overhead, and cash budgets. The combined cash budget shows beginning and ending cash balances and cash inflows and outflows. It also provides the budgeted manufacturing cost per unit and an income statement for the quarter.

Uploaded by

api-302665852
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as XLSX, PDF, TXT or read online on Scribd
315 views6 pages

Acct 2020 Excel Master Budget

The document provides a master budget for a company for the quarter ending March 31. It includes sales, production, materials, labor, overhead, and cash budgets. The combined cash budget shows beginning and ending cash balances and cash inflows and outflows. It also provides the budgeted manufacturing cost per unit and an income statement for the quarter.

Uploaded by

api-302665852
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as XLSX, PDF, TXT or read online on Scribd
You are on page 1/ 6

MANAGERIAL ACCOUNTING

Master Budget

Sales Budget
December January February March April May
Unit sales 7000 8000 9200 9900 9700 8500
Unit selling price $ 10 $ 10 $ 10 $ 10 $ 10 $ 10
Total sales revenue $ 70,000 $ 80,000 $ 92,000 $ 99,000 $ 97,000 $ 85,000

Cash Collections Budget


For the Quarter Ended March 31
Month
January February March Quarter
Cash sales $ 24,000 $ 27,600 $ 29,700 $ 81,300
Credit sales $ 49,000 $ 56,000 $ 64,400 $ 169,400
Total cash collections $ 73,000 $ 83,600 $ 94,100 $ 250,700

Production Budget
For the Quarter Ended March 31
Month
January February March Quarter
Unit sales 8000 9200 9900 27100
Plus: Desired ending inventory 2300 2475 2425 2425
Total needed 10300 11675 12325 29525
Less: Beginning inventory 2000 2300 2475 2475
Number of units to produce 8300 9375 9850 27050

Chapter 9: The Master Budget Page 1 of 6


MANAGERIAL ACCOUNTING

Direct Materials Budget


For the Quarter Ended March 31
Month
January February March Quarter
Units to be produced (from Production Budget) 8300 9375 9850 27525
Multiply by: Quantity (pounds) of DM needed per unit 2 2 2 2
Quantity (pounds) of DM needed for production 16600 18750 19700 55050
Plus: Desired ending inventory of DM 1875 1970 1880 1880
Total quantity (pounds) needed 18475 20720 21580 56930
Less: Beginning inventory of DM 1660 1875 1970 1970
Quantity (pounds) to purchase 16815 18845 19610 54960
Multiply by: Cost per pound $ 2 $ 2 $ 2 $ 2
Total cost of DM purchases $ 33,630 $ 37,690 $ 39,220 $ 109,920

April
Unit sales 9700
Plus: Desired ending inventory 2125
Total needed 11825
Less: Beginning inventory 2425
Number of units to produce 9400
DM (pounds) needed per unit 2
DM (pounds) needed for production 18800
Multiply by: Cost per pound $ 2
Total cost of DM purchases $ 37,600

Cash Payments for Direct Material Purchases Budget


For the Quarter Ended March 31

Chapter 9: The Master Budget Page 2 of 6


MANAGERIAL ACCOUNTING

Month
January February March Quarter
20% of current month DM purchases $ 6,726 $ 7,538 $ 7,844 $ 22,108
80% of prior month DM purchases $ 42,400 $ 26,904 $ 30,152 $ 99,456
Total cash payments $ 49,126 $ 34,442 $ 37,996 $ 121,564

Cash Payments for Direct Labor Budget


For the Quarter Ended March 31
Month
January February March Quarter
Total cost of direct labor $ 996 $ 1,125 $ 1,182 $ 3,303

Chapter 9: The Master Budget Page 3 of 6


MANAGERIAL ACCOUNTING

Cash Payments for Manufacturing Overhead Budget


For the Quarter Ended March 31
Month
January February March Quarter
Variable manufacturing overhead costs $ 9,960 $ 11,250 $ 11,820 $ 33,030
Rent (fixed) $ 5,000 $ 5,000 $ 5,000 $ 15,000
Other fixed MOH $ 3,000 $ 3,000 $ 3,000 $ 9,000
Cash payments for manufacturing overhead $ 17,960 $ 19,250 $ 19,820 $ 57,030

Cash Payments for Operating Expenses Budget


For the Quarter Ended March 31
Month
January February March Quarter
Variable operating expenses $ 8,000 $ 9,200 $ 9,900 $ 27,100
Fixed operating expenses $ 1,000 $ 1,000 $ 1,000 $ 3,000
Cash payments for operating expenses $ 9,000 $ 10,200 $ 10,900 $ 30,100

Chapter 9: The Master Budget Page 4 of 6


MANAGERIAL ACCOUNTING

Combined Cash Budget


For the Quarter Ended March 31
Month
January February March Quarter
Beginning cash balance $ 4,500 $ 4,418 $ 4,001 $ 4,500
Plus: Cash collections $ 73,000 $ 83,600 $ 94,100 $ 250,700
Total cash available $ 77,500 $ 88,018 $ 98,101 $ 255,200
Less cash payments:
Direct material purchases $ 49,126 $ 34,442 $ 37,996 $ 121,564
Direct labor $ 996 $ 1,125 $ 1,182 $ 3,303
Manufacturing overhead costs $ 17,960 $ 19,250 $ 19,820 $ 57,030
Operating expenses $ 9,000 $ 10,200 $ 10,900 $ 30,100
Tax payment $ 10,000 $ 10,000
Equipment purchases $ 5,000 $ 12,000 $ 16,000 $ 33,000
Total cash payments $ 82,082 $ 87,017 $ 85,898 $ 254,997
Ending cash balance before financing $ (4,582) $ 1,001 $ 12,203 $ 203
Financing:
Plus: New borrowings $ 9,000 3000 $ 12,000
Less: Debt repayments $ (8,000) $ (8,000)
Less: Interest payments $ 330 $ 330
Total Financing $ 9,000 $ 3,000 $ (7,670) $ 4,330
Ending cash balance $ 4,418 $ 4,001 $ 4,533 $ 4,533

Chapter 9: The Master Budget Page 5 of 6


MANAGERIAL ACCOUNTING

Budgeted Manufacturing Cost per Unit


Direct materials cost per unit $ 4
Direct labor cost per unit $ 0.12
Variable manufacturing overhead costs per unit $ 1.20
Fixed manufacturing overhead costs per unit $ 0.80
Budgeted cost of manufacturing one unit $ 6.12

Budgeted Income Statement


For the Quarter Ended March 31
Sales Revenue $ 271,000
Less: Cost of goods sold $ 165,852
Gross profit $ 105,148
Less: Operating expenses $ 30,100
Less Depreciation expense $ 4,600

Chapter 9: The Master Budget Page 6 of 6

You might also like