Ayayai Inc. is preparing its annual budgets for the year ending December 31, 2017. Accounting assistants furnish the data shown below.

Product

JB 50

Product

JB 60

Sales budget:Anticipated volume in units 403,200 205,000Unit selling price$22$ 27 Production budget:Desired ending finished goods units 26,30016,000Beginning finished goods units 31,200 13,300 Direct materials budget:Direct materials per unit (pounds)22Desired ending direct materials pounds 33,30017,900Beginning direct materials pounds 43,500 13,100Cost per pound$2 $3 Direct labor budget:Direct labor time per unit 0.40.6Direct labor rate per hour$12$12 Budgeted income statement:Total unit cost$12$22

An accounting assistant has prepared the detailed manufacturing overhead budget and the selling and administrative expense budget. The latter shows selling expenses of $662,000for product JB 50 and $362,000for product JB 60, and administrative expenses of $542,000for product JB 50 and $345,000for product JB 60. Interest expense is $150,000 (not allocated to products). Income taxes are expected to be 30%.

(a)

Display the production budget for the year.

AYAYAIINC.

Production Budget

For the Year Ending December 31, 2017

December 31, 2017

For the Quarter Ending December 31, 2017

JB 50

JB 60

Direct Labor Cost per Hour

Total Required Units

Desired Ending Finished Goods Units

Expected Unit Sales

Beginning Direct Materials

Total Pounds Needed for Production

Direct Labor Time per Unit

Direct Materials Purchases

Direct Materials per Unit

Total Required Direct Labor Hours

Required Production Units

Cost per Pound

Total Direct Labor Cost

Beginning Finished Goods Units

Desired Ending Direct Materials

Total Cost of Direct Materials Purchases

Total Materials Required

Add

Less

:

Direct Materials Purchases

Expected Unit Sales

Required Production Units

Total Cost of Direct Materials Purchases

Direct Labor Time per Unit

Total Materials Required

Direct Labor Cost per Hour

Total Direct Labor Cost

Cost per Pound

Beginning Direct Materials

Total Pounds Needed for Production

Desired Ending Finished Goods Units

Total Required Direct Labor Hours

Total Required Units

Beginning Finished Goods Units

Desired Ending Direct Materials

Direct Materials per Unit

Expected Unit Sales

Total Required Direct Labor Hours

Direct Labor Time per Unit

Total Pounds Needed for Production

Required Production Units

Beginning Direct Materials

Cost per Pound

Desired Ending Finished Goods Units

Direct Materials per Unit

Direct Labor Cost per Hour

Beginning Finished Goods Units

Desired Ending Direct Materials

Total Required Units

Total Cost of Direct Materials Purchases

Total Direct Labor Cost

Total Materials Required

Direct Materials Purchases

Add

Less

:

Beginning Direct Materials

Direct Materials per Unit

Cost per Pound

Total Required Direct Labor Hours

Total Cost of Direct Materials Purchases

Direct Materials Purchases

Total Direct Labor Cost

Total Required Units

Total Materials Required

Beginning Finished Goods Units

Desired Ending Direct Materials

Desired Ending Finished Goods Units

Total Pounds Needed for Production

Direct Labor Cost per Hour

Direct Labor Time per Unit

Expected Unit Sales

Required Production Units

Total Pounds Needed for Production

Total Required Units

Desired Ending Finished Goods Units

Beginning Finished Goods Units

Total Direct Labor Cost

Beginning Direct Materials

Direct Materials per Unit

Required Production Units

Direct Labor Cost per Hour

Cost per Pound

Total Materials Required

Direct Labor Time per Unit

Direct Materials Purchases

Desired Ending Direct Materials

Total Cost of Direct Materials Purchases

Total Required Direct Labor Hours

Expected Unit Sales