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Business, 24.04.2020 02:48 hunter3978

The ColorfulFurniture Company manufactures modern wood frame lounge sofas. Currently the company makes only one size of three-seat sofas, which is 35 inches deep by 90 inches wide. The final product consists of a routed, sanded, assembled, and stained wood sofa. Direct materials include oak wood frames and pre-made cushions. Other materials, such as wood legs, screws, hinges, sand paper, stain, and packaging, are treated as indirect materials. ColorfulFurniture is preparing budgets for the second quarter ending June 30, 2020. For each requirement below prepare budgets by month for April, May, and June, and a total budget for the quarter.

The previous year’s sales (2019) for the corresponding period were:

a. April 540 sofas
b. May 680 sofas
c. June 920 sofas
d. July 1220 sofas
e. August 750 sofas

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