ABC Sdn
Subject:AccountingPrice: Bought3
ABC Sdn. Bhd. has the following budgeted unit sales figures for the three months from July 2015 to September 2015:
July 800
August 600
September 700
The company makes and sells one product only, the unit costs and selling price of which are:
Selling price RM70
Material A: 2 kg at RM5 per kg RM10
Material B: 1.5 kg at RM6 per kg RM9 Labour:
2 hours at RM10 per hour RM20 On 31 Jun 2015, the stocks in hand are expected to be: Finished Goods 100 units Raw Materials : A 200 kgs B 150 kgs
The following information is also available:
i) The selling price of the product is expected to increase by 5% on 1 September 2015.
ii) The company anticipates an increase in labour rate by RM1 per hour. The new rate will take effect starting 1 September 2015.
iii) The closing stocks of finished goods and raw materials are expected to show a 10% increase on the opening stocks each month.
iv) Beginning cash balance for July is RM12,000 Required:
Prepare for July, August and September:
a) Sales Budget
b) Production Budget
c) Raw Material Budget for Materials A and B
d) Labour Budget
e) Cash budget
