Big Boss Limited was formed two years ago by Joshua Sealers. He had the idea to make a product for Quick Service Restaurants that would be easy and convenient to prepare. He bought several used plant and equipment from a company that was involved in making a similar product but was leaving the industry. Big Boss estimated that the equipment would be able to last for 10 years once it was properly maintained. He called his finished product "Sweet" The budget for the next four months ending 31 July 2023 is to be prepared. The following data was gathered: [A] Projected Statement of Financial Position as at 31 March 2023: $ ASSETS Non-current Assets Plant and equipment at cost Less Accumulated depreciation Current Assets Raw materials Finished goods Accounts Receivables Cash EQUITIES AND LIABILITIES Capital Share capital Accumulated profits (Retained Earnings) Current Liabilities Accounts Payables [B] Sales and production data: Sales demand for finished goods April May June July August Selling price per unit Finished goods: Direct labour hours required per unit Direct labour rate per hour 1,440,000 288.000 1,152,000 30,750 38,750 200,000 554,250 Projected closing inventory at 31 March 2023 Unit cost of finished goods inventory Variable production overhead-direct labour hours required for production: Processing Cost per hour for variable overhead Fixed production overhead per month including depreciation of $8,000 Material requirement per unit: Raw material S 823,750 1.975.750 1,147,300 600,000 1,747,300 228.450 1.975.750 Sweet 5,000 units 7,500 units 12.500 units 15,000 units 12,000 units $200 250 units $155 per unit 12 mins $50 per hour $45,000 0.40 lbs 12 minutes $100 per hour [C] Raw materials Closing inventory in lbs at 31 March 2023 Closing inventory in lbs at 31 July 2023 Budgeted cost of raw material per lb Material Actual costs per pound of opening raw material inventories are as budgeted for the coming period. [E] Collection from customers is expected to be as follows: 90% in the month in which the sales are made 10% in the first month after the sale 102.50 597.50 $300 per lb [D] The company maintains a policy of holding 5% of the next month's demand for "Sweet" in inventory. The policy for raw materials is to maintain 5% of next month's requirements in inventory. [G] Selling and Administrative expenses are expected to be: Variable-2% of sales revenue Fixed $100,000 per month including $4,000 for depreciation. [F] 80% of all raw materials purchased are expected to be paid for in the month of purchase with the remaining amount being paid in the following month. [H]Tax payable represents 25% of profit before tax and is paid on March 15 each year for profit made in the prior year. Profit before tax for the year ended December 31, 2022 was $600,000. Required: 1. Prepare the following budgets for Best Friends Pre-season Limited by month and in total for the four months ending July 31, 2023: (a) Sales budget. (6 marks) (b) Schedule of cash collected from customers. (10 marks) (c) Production budget. (d) Direct-material usage and purchases budget. (e) Schedule of cash disbursement to suppliers for direct material. (f) Direct labour budget. (17 marks) (23% marks) (10 marks) (9% marks)