Bina Berhad manufactures kites that sell for RM20 each. Each kite requires 2 meters of light-weight canvas, which costs RM0.60 per meter. Each kite takes approximately 30 minutes to build, and the labour rate averages RM8 per hour. Bina Berhad has the following inventory policies:

Ending finished goods inventory should be 30 % of next month's sales.

Ending direct materials inventory should be 20 % of next month's production.

Expected kite sales for the upcoming months are :

March

850

April

700

May

650

June

720

July

830

August

760

Variable manufacturing overhead is incurred at a rate of RM0.40 per unit produced. Annual fixed manufacturing overhead is estimated to be RM9,000 (RM750 per month) for expected production of RM9,000 units for the year. Selling and administrative expenses are estimated at RM820 per month plus RM0.75 per unit sold.

Required

Prepare the following for Bina Berhad for the second quater (April, May and June). Include each month as well as the quarter 2 total in each budget.

a. Budgeted cost of good sold.