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Budgeted Income Statement and Supporting Budgets The budget director of Birds and Beyond Inc., with the assistance of the controllen, treasurer, production manager, and sales

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Budgeted Income Statement and Supporting Budgets The budget director of Birds and Beyond Inc., with the assistance of the controllen, treasurer, production manager, and sales manager, has gathered the following data for use in developing the budgeted income statement for January: a. Estimated sales for January: Birdhouse 7,500 units at 566 per unit Bird feeder 5,000 units at $82 per unit b. Estimated inventories at January 1 : Direct materials: Wood 198ft. Plastic 420Hb. Finished products: Birdhouse 500 units at $28 per unit Bird feeder 210 units at $40 per unit c. Desired inventories at Nanuary 31 . Direct materials: d. Direct materials used in production: In manufacture of BirdHouse: In manufacture of Bird Feeder: Wood 1.20ft per unit of product Plastic 0.75lb. per unit of product e. Antiopated cost of purchases and beginning and ending inventory of direct materials: Wood $9.00 per ft. Plastic $1,40 per 1lb. f. Direct labor requirements: Birdhouse: Fabrication Department 0.25hr at $20 per hr. Assembly Department 0.30 hri at $15 per tre Bird Feeder: Fabrication Department 0.40 hr. at $20 per:hr Assembly Department 0.35 hr at $15 per hr 9. Estimated factory overhead costs for January: Indirect factory wages $92,000 Depreciation of plant and equipment 34,000 Power and light Insurance and property tax h. Estimated operating expenses for January: Sales salaries expense Advertising expense Office salaries expense Depreciation expense-office equipment Telephone expense-selling Telephone expense-adrinistrative Travel expense-selling Office supplies expense Miscellaneous administrative expense Estimated other income and expense for January: Interest revenue Interest expense f. Estimated tax rate: 25% Required: 1. Prepare a sales budget for January. 2. Prepare a production bdo ec for aanuary. 3. Prepare a direct materials pughaper budget for January. Round your unit price answers to two decimal places. 4. Prepare a directibor cost budoct for - anuary. 5. Preparea macory ovenneab cost ouoge tor january. 6. Prepare a cost of goods sold budget for january. Wok in proces. 5 at the beginning of january is estimated to be $33,600, and work in process at the end of january is estimated to be $41,200. 7. Prepare a selling and administrative expenses budoet for january. Ch. 22HW Telephone expense-administrative office supplies expense Miscellaneous administrative expense Total administrative expenses Total operating expenses 8. Prepare a budgeted income statement for January. Birds and Beyond Inc Budgeted Income Statement For the Month Ending January 31 5 Operating expenses: Total operating expenses Other revenue: 5 Other expenses

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