Required information The following information applies to the questions displayed below) Morganton Company makes one product and it provided the following information to help prepare the master budget: a The budgeted selling price per unit is $70. Budgeted unit sales for June July August, and September are 9,100, 22.000 24,000 and 25.000 units respectively. All sales are on credit b Forty percent of credit sales are collected in the month of the sale and 60% in the following month The ending finished goods inventory equals 20% of the following month’s unit sales d. The ending raw materials inventory equals 10% of the following month’s raw materials production needs.
Each unit of finished goods requires 4 pounds of raw materials. The raw materials cost $250 per pound e Forty percent of raw materials purchases are paid for in the month of purchase and 60% in the following month The direct labor wage rate is $12 per hour. Each unit of finished goods requires two direct labor-hours. The variable selling and administrative expense per unit sold is $170. The fixed selling and administrative expense per month is $61,000 2. What are the expected cash collections for July? < Prox 2 3 4 15 of 15