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Business, 12.02.2021 06:20 brandytyler317fries

Vista Electronics, Inc., manufactures two different types of coils used in electric motors. In the fall of the current year, Erica Becker, the controller, compiled the following data. Sales forecast for 20x0 (all units to be shipped in 20x0): Product Units Price Light coil 56,000 $ 260 Heavy coil 36,000 360 Raw-material prices and inventory levels: Raw Material Expected Inventories, January 1, 20x0 Desired Inventories, December 31, 20x0 Anticipated Purchase Price Sheet metal 34,000 lb. 38,000 lb. $ 15 Copper wire 31,000 lb. 34,000 lb. 8 Platform 5,600 units 6,600 units 4 Use of raw material: Amount Used per Unit Raw Material Light Coil Heavy Coil Sheet metal 5 lb. 6 lb. Copper wire 3 lb. 4 lb. Platform 2 unit Direct-labor requirements and rates: Product Hours per Unit Rate per Hour Light coil 3 $ 15 Heavy coil 5 20 Finished-goods inventories (in units): Product Expected January 1, 20x0 Desired December 31, 20x0 Light coil 21,000 26,000 Heavy coil 8,500 9,500 Production overhead: Overhead Cost Item Activity-Based Budget Rate Purchasing and material handling $ 0.60 per pound of sheet metal and copper wire purchased Depreciation, utilities, and inspection $ 5.00 per coil produced (either type) Shipping $ 1.00 per coil shipped (either type) General production overhead $ 3.00 per direct-labor hour Problem 9-39 Part 1 Required: 1. Prepare the sales budget (in dollars) for 20x0.

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