Answer to Question 2 16 Reference 22 Accounting Authors

Running head: ACCOUNTING
Accounting
Name of the Student:
Name of the University:
Authors Note:

ACCOUNTING1
Table of Contents
Answer to Question 1......................................................................................................................2
a)...................................................................................................................................................2
b)..................................................................................................................................................2
c)...................................................................................................................................................2
d)..................................................................................................................................................7
e)...................................................................................................................................................8
f)...................................................................................................................................................9
g)................................................................................................................................................10
h)................................................................................................................................................11
i).................................................................................................................................................12
j).................................................................................................................................................13
k)................................................................................................................................................14
l).................................................................................................................................................15
Answer to Question 2....................................................................................................................16
Reference.......................................................................................................................................22

ACCOUNTING2
Answer to Question 1
a)
Statement showing Revenue budget
Particulars Units Unit price ($) Amount ($)
Revenue from sale 2000 desks 800 per desk 1600000
b)
Statement showing Production budget
Particulars Units
Expected sales (no. of desks) 2000
Add: Closing inventory 300
2300
Less: Opening inventory 200
No. of desks to be produced 2100
c)

ACCOUNTING3
Statement showing Direct material usage budget
Particulars Amount
Oak Tops required production 6300
Oak legs required for production 8400

ACCOUNTING4
Statement showing Direct material purchase budget (Units)
Particulars Units
Oak Tops required production 6300
Add: Closing inventory 24
6324
Less: Opening inventory 40
Oak Tops to be purchased (SQ. Mt) 6284
Oak legs required for production 8400
Add: Closing inventory 80
8480
Less: Opening inventory 100
Oak legs to be purchased 8380

ACCOUNTING5
Statement showing Direct material usage budget:
Oak Tops required production 6300
Oak legs required for production 8400
Direct material usage budget ($):
Particulars Units Amount
Oak Tops required production 6300 756000
Oak legs required for production 8400 58800