Animal Transport Company makes two pet carriers, the Cat-allac and the Dog-eriffic. They are both made of plastic with metal doors, but the Cat-allac is smaller. Information for the two products for the month of April is given in the following tables: E: (Click the icon to view the information for the two products.) Animal Transport accounts for direct materials using a FIFO cost-flow assumption. (Click the icon to view the account information.) Animal Transport uses an activity-based costing system and classifies overhead into three activity pools: Setup, Processing, and Inspection. Activity rates for these activities are $105 per setup-hour, $10 per machine-hour, and $15 per inspection-hour, respectively. Other information follows: (Click the icon to view the other information.) Read the requirements Requirement 1. Prepare the revenues budget. Revenues Budget For the Month of April Units Selling price 530 $ 205 Total revenues Cat-allac Dog-eriffic 265 310 Total Product information Input Prices Direct materials Plastic $ 5 per pound Metal $ 4 per pound Direct manufacturing labor $ 10 per direct manufacturing labor hour Input Quantities per Unit of Output Cat-allac Dog-eriffic Direct materials Plastic 4 pounds 6 pounds Metal 0.5 pounds 1 pound Direct manufacturing labor-hours (DMLH) 3 hours 5 hours Machine-hours (MH) 11 MH 18 MH Inventory Information, Direct Materials Metal Beginning inventory Target ending inventory Cost of beginning inventory Plastic 230 pounds 380 pounds 50 pounds 40 pounds $ 897 $ 160 - Account information Sales and Inventory Information, Finished Goods Cat-allac Dog-eriffic Expected sales in units 530 265 Selling price $ 205 $ 310 Target ending inventory in units 10 Beginning inventory in units 10 25 Beginning inventory in dollars $ 1,000 $ 4,650 Animal Transport uses a FIFO cost-flow assumption for finished-goods inventory. 30 - Other information Cost Driver Information Cat-allac Dog-errific Number of units per batch 25 10 Setup time per batch 1.50 hours 2.00 hours Inspection time per batch 0.5 hours 0.8 hour If necessary, round up to calculate number of batches. Nonmanufacturing fixed costs for March equal $30,000, half of which are salaries. Salaries are expected to increase 5% in April. Other nonmanufacturing fixed costs will remain the same. The only variable nonmanufacturing cost is sales commission, equal to 1% of sales revenue