arm Supply Company manufactures and sells a pesticide called Snare. The following data are available for preparing b re for the first 2 quarters of 2020. Sales: quarter 1, 28,600 bags; quarter 2,43,400 bags. Selling price is $62 per bag. Direct materials: each bag of Snare requires 5 pounds of Gumm at a cost of $3.80 per pound and 6 pounds of Tarr at $1.50 per pound. Desired inventory levels: of Inventory (bags). n (pounds) pounds) January 1 8,400 9,400 14,300 April 1 12,300 10,500 20.400 July 1 18,300 13,500 25.100 Direct labor: direct labor time is 15 minutes per bag at an hourly rate of $16 per hour. Selling and administrative expenses are expected to be 15% of sales plus $ 178,000 per quarter. Interest expense is $100.000. Sales: quarter 1,28,600 bags; quarter 2,43,400 bags. Selling price is $62 per bag. Direct materials: each bag of Snare requires 5 pounds of Gumm at a cost of $3.80 per pound and 6 pour $1.50 per pound. Desired inventory levels: of Inventory (bags) (pounds) ounds) January 1 8,400 9.400 14.300 April 1 12.300 10,500 20,400 July 1 18,300 13,500 25,100 Direct labor: direct labor time is 15 minutes per bag at an hourly rate of $16 per hour. Selling and administrative expenses are expected to be 15% of sales plus $178,000 per quarter. Interest expense is $100,000. the 2004 fincome before income taxes istant has prepared two budgets: (1) the manufacturing overhead budget shows expected costs to be 125% (2) the direct materials budget for Tarr shows the cost of Tarr purchases to be $299,000 in quarter 1 and $4 2. o not prepare the manufacturing overhead budget or the direct materials budget for Tarr.) are the sales budget. COOK FARM SUPPLY COMPANY Sales Budget Quarter Six Months COOK FARM SUPPLY COMPANY Sales Budget Quarter Six Months 1 2 cted unit sales selling price $ $ $ sales $ $ $ are the production budget. COOK FARM SUPPLY COMPANY Production Budget COOK FARM SUPPLY COMPANY Production Budget Quarter 1 2 and Media