Exercise D56 Coronados Bakery makes a variety of homestyle c

Exercise D5-6 Coronado\'s Bakery makes a variety of home-style cookies for upscale restaurants in the Atlanta metropolitan area. The company\'s best-selling cookie is the double chocolate almond supreme. Coronado\'s recipe requires 10 ounces of a commercial cookie mix, 5 ounces of milk chocolate, and 1 ounce of almonds per pound of cookies. The standard direct materials costs are $0.80 per pound of cookie mix, $4 per pound of milk chocolate, and $12 per pound of almonds. Each pound of cookies requires 1 minute of direct labor in the mixing department and 2 minutes of direct labor in the baking department. The standard labor rates in those departments are $17.60 per direct labor hour (DLH) and $28 per DLH, respectively. Variable overhead is applied at a rate of $34.20 per DLH; fixed overhead is applied at a rate of $60 per DLH Calculate the standard cost for a pound of Coronado\'s double chocolate almond supreme cookies. (Round answer to 2 decimal places, e.g. 3.51.) Standard cost per pound Exercise D5-7 Hammarstrom and Company makes and sells high-quality glare filters for computer monitors. John Stanford, controller, is responsible for preparing Hammarstrom\'s master budget. He has received the following sales forecast for the coming year from the sales manager January February March April 17,900 20,900 23,700 30,000 $87 Forecasted unit sales Sales price per unit $92 $92 $92 Prepare Hammarstrom\'s sales budget for the first quarter January February March Quarter Budgeted units sold Budgeted sales price Budgeted revenue Exercise D5-10 Crane, Inc., makes and sells drum sets. Nick Ross, controller, is responsible for preparing the master budget. The sales manager has given Nick the following sales forecast for the coming months April May Jue July 10,000 12,000 8,000 9,000 Forecasted unit sales Crane expects to have 4,000 drum sets in ending inventory on March 31 . The company\'s policy is to carry 40 % of the following month\'s projected sales in ending inventory Prepare Crane\'s production budget for the second quarter. (Round answers to 0 decimal places, e.g. 5,275.) April May une Quarter

Solution

D5-6 Calculation of Standard Cost Per Pound: Cost Components Amt Direct Material: Commercial Cookie Mix(10*0.80) 8.00 Milk Chocolate(5*4) 20.00 Almonds(1*12) 12.00 Direct Labor: Mixing Department(1/60*17.60) 0.29 Baking Department(2/60*28) 0.93 Variable Overhead Cost(3/60*34.20) 1.71 Fixed Overhead Cost(3/60*60) 3.00 Total Standard Cost 45.94 D5-7 Harmmarstrom\'s Sales Budget January Februrary March Quarter Budgeted Units Sold 17900 20900 23700 62500 Budgeted Sales Price 92 92 92 92 Budgeted Revenue 1646800 1922800 2180400 5750000 D5-10 Crane\'s Production Budget April May June Quarter Forcasted Units Sales 10000 12000 8000 30000 Add: Desired Closing Units (40% of Next Month Sales) 4800 3200 12000 12000 Total Units Required 14800 15200 20000 42000 Less: Opening Units 4000 4800 3200 4000 Net Units to be Produced 10800 10400 16800 38000