=+10-35 KK Comprehensive operating budget, budgeted balance sheet OBJECTIVE 3 Slopes Ltd manufactures and sells snowboards. Slopes Ltd manufactures a single model, the Pipex. In the summer of 2014, Slopes Ltd’s management accountant gathered the following data to prepare budgets for 2015:

Materials and labour requirements Direct materials Wood 1.25 board metres (b.m.) per snowboard Fibreglass 4.8 metres per snowboard Direct manufacturing labour 5 hours per snowboard Slopes Ltd’s CEO expects to sell 1000 snowboards during 2015 at an estimated retail price of $700 per board. Further, the CEO expects 2015 beginning inventory of 100 snowboards and would like to end 2015 with 200 snowboards in stock.

Direct materials inventories