1. (6 points) Kroger Corporation had the following budget information related to the unit sales: 25,000 July August September 53,000 21,000 34,000 October Of the units budgeted, the Electronics Division sells 60% at a price of $35 per unit and the remainder are sold by the Toy Division at a price of $20 per unit. INSTRUCTIONS Prepare separate sales budgets for each division and for the company in total for the third quarter of 2019. 2. (12 points) The following budget information relates to the Staples Company unit sales: 2019 Units April 27,000 32,000 17,000 21,000 16,000 May June August The finished goods unitsn hand on March 31, 2019, was 2,000 units. Each unit requires 3 punds of raw materials that are estimated to cost an average of $6 per pound. It is the company's policy to maintain a finished goods inventory at the end of each month equal to 15% of next month's anticipated sales. They also have a policy of maintaining a raw materials inventory at the end of each month equal to 20% of the pounds needed for the following month's production. There were 8,000 poundsf raw materials on hand at March 31, 2019. INSTRUCTIONS Prepare the following budget reports for the second quarter of 2019 a) a production budget (b) a direct materials budget. MAKE SURE YOU SHOW COMPUTATIONS WHERE APPROPRIATE OR NO CREDIT GIVEN Problem 1--6 points Kroger Corporation Sales Budget For the Quarter Endinq September 30, 2019 Toys Probler 2-12 points Staples Company Production Budget For the Quarter Ending June 30, 2019 ril Ma June Staples Company Direct Materials Budget For the Quarter Ending June 30, 2019 AprilMay June total 12