4Prepare the basic operating budgets for a manufacturing company, Bellaire Inc, gathered the following data for use in developing the budgets for the first quarter (January, February, March) of its fiscal year: 1. Estimated sales at $125 per unit: January 25,000 units February 30,000 units March 45,000 units April 50,000 units 2. Estimated finished goods inventories: Juary 1 2,000 units January 31 10% of next month's sales February 28 10% of next month's sales March 31 10% of next month's sales 3. Work in process inventories are estimated to be insignificant (zero) 4. Estimated direct materials inventories: January 1 1,000 lbs. January 31 1.500 lbs. February 28 2,000 lbs March 31 2.500 lbs. 5. 6. Selling expenses Variable selling expenses S4 per unit Fixed selling expenses $150.000 Administrative expenses (all fixed costs) $400,000 Instructions Prepare the following budgets using one column for each month and a total column for the first quarter, as shown for the sales budget: Bellaire Inc. Sales Budget For the First Quarter Ending March 31 January February March First Ouarter Estimated units sold 25,000 30,000 45,000 100,000 2. Prepare a cost of goods sold budget for March 3. Prepare a selling and administrative expenses budget for March 4. Prepare a budgeted income statement with budgeted operating income for March 4Prepare the basic operating budgets for a manufacturing company, Bellaire Inc, gathered the following data for use in developing the budgets for the first quarter (January, February, March) of its fiscal year: 1. Estimated sales at $125 per unit: January 25,000 units February 30,000 units March 45,000 units April 50,000 units 2. Estimated finished goods inventories: Juary 1 2,000 units January 31 10% of next month's sales February 28 10% of next month's sales March 31 10% of next month's sales 3. Work in process inventories are estimated to be insignificant (zero) 4. Estimated direct materials inventories: January 1 1,000 lbs. January 31 1.500 lbs. February 28 2,000 lbs March 31 2.500 lbs. 5. 6. Selling expenses Variable selling expenses S4 per unit Fixed selling expenses $150.000 Administrative expenses (all fixed costs) $400,000 Instructions Prepare the following budgets using one column for each month and a total column for the first quarter, as shown for the sales budget: Bellaire Inc. Sales Budget For the First Quarter Ending March 31 January February March First Ouarter Estimated units sold 25,000 30,000 45,000 100,000 2. Prepare a cost of goods sold budget for March 3. Prepare a selling and administrative expenses budget for March 4. Prepare a budgeted income statement with budgeted operating income for March