What is the estimated raw materials inventory balance at the end of july?

Morganton Company makes one product and it provided the following information to help prepare the master budget for its first four months of operation

a. The budget selling price per unit is $70. Budgeted unit sales for June, July, August and September are 8,400, 10,000, 12,000 and 13,000 units respectively. All sales are on credit

b. Forty percent of credit sales are collected in the month of sale and 60% in the following month

c. The ending finish goods inventory equals 20% of the following months unit sales

d. The ending raw materials inventory equals 10% if the following months raw production needs each unit of finished goods require 5 pounds of raw materials.

The raw materials cost $2 per pound

e. 30% of raw materials purchases are paid for the month of purchase and 70% in the following month

f. The direct labor wage is $15 per hour. Each unit of finished goods require 2 labor direct labor hours

g. The variable selling and administrative expense per unit sold is $1.80. The fixed selling and administrative expense per month is $60,000.

Required:

1. What are the budgeted sales for July?

2. What are the expected cash collections for July?

3. What is the accounts receivable balance at the end of July?

4. According to the production budget, how many units should be produced in July?

5. If 61,000 pounds of raw materials are needed to meet production in August, how many pounds of raw materials should be purchased in July?

6. What is the estimated cost of raw materials purchases for July?

7. If the cost of raw materials purchases in June is $88,000, what are the estimated cash disbursements for raw materials purchases in July?

8. What is the estimated accounts payable balance at the end of July?

9. What is the estimated raw materials inventory balance at the end of July?

10. What is the total estimated direct labor cost for July assuming the direct labor workforce is adjusted to match the hours required to produce the forecasted number of units produced?

11. If the company always uses an estimated predetermined plant wide overhead rate of $10 per direct labor-hour, what is the estimated unit product cost?

12. What is the estimated finished goods inventory balance at the end of July?

13. What is the estimated cost of goods sold and gross margin for July?

14. What is the estimated total selling and administrative expense for July?

15. What is the estimated net operating income for July?