Budgeted Income Statement and Supporting Budgets The budget director of Birding Homes & Feeders Inc, with the assistance of the controller, treasurer, production manager, and sales manager has gathered the following data for use in developing the budgeted Income statement for January 2. Estimated sales for January 15,000 units at Bird house $25 per unit 40,000 units at Bird feeder $15 per unit b. Estimated Inventories at January 11 Direct materials: Wood 600 Ft Plastic 1,000 lbs. Finished products: Bird house 1,000 units at $15 per unit 2.500 units at $8 per unit Bird feeder C Desired inventories at January 31 Direct materials Wood 500 Ft 1,250 lbs Plastic Finished products: Bird house 1,500 units at $15 per unit 3,000 units at 50 per unit Bird feeder India Next Check My Work All work saved Emal Instructor Save and for Submit Assignment for Grading per unit d. Direct materials used in production: In manufacture of Bird House: 0.80 ft. per unit Wood of product 0.10 lb, per unit Plastic of product In manufacture of Bird Feeder: 0.20 ft. per unit Wood of product 1.00 lb, per unit Plastic of product e. Anticipated cost of purchases and beginning and ending inventory of direct materials: Wood $2.50 per ft. Plastic $0.80 per lb. f. Direct labor requirements: Bird House: 0,40 hr. at $18 Fabrication Department per hr 0.20 hr at $12 Assembly Department per hr Bird Feeder: Fabrication Department 0.25 hr at $18 per hr 0.10 hr at $12 per hr. Assembly Department 9. Estimated factory overhead costs for January Indirect factory wages $40,000 P $40,000 20,000 10,000 5,000 $125,000 80,000 9. Estimated factory overhead costs for January: Indirect factory wages Depreciation of plant and equipment Power and light Insurance and property tax n. Estimated operating expenses for January: Sales salaries expense Advertising expense Office salaries expense Depreciation expense-office equipment Travel expense-selling Office supplies expense Miscellaneous administrative expense 1. Estimated other revenue and expense for January: Interest revenue Interest expense J. Estimated tax rate: 25% 40,000 4,000 25,000 2,500 3,500 $4,540 3,000 Required: 1. Prepare a sales budget for January, Birding Homes & Feeders Inc. Sales Budget For the Month Ending January 31 Unit Sales Unit Selling Volume Price Total Sales Birding Homes & Feeders Inc. Sales Budget For the Month Ending January 31 Unit Sales Volume Unit Selling Price Total Sales Bird house 15,000 $$ 25 $$375,000 Bird feeder 40,000 15 600,000 Total revenue from sales $$ 975,000 2. Prepare a production budget for January. For those boxes in which you must enter subtracted or negative numbers use a Birding Homes & Feeders Inc. Production Budget For the Month Ending January 31 Units Bird House Bird Feeder 15,000 40,000 600 X 1,000 x Expected to be sold Desired inventory, January 31 V Total units available Estimated Inventory, January 1 Total units to be produced 3. Prepare a direct materials purchases budget for January. For those boxes in which you must enter subtracted or negative Birding Homes & Feeders Inc. Direct Materials Purchases Budget For the Month Ending January 31 Wood Plastic Total Required units for production: Bird house Bird feeder Desired units of Inventory, January 31 Total units available Estimated units of Inventory, January 1 Total units to be purchased Unit price Total direct materials to be purchased XS 4. Prepare a direct labor cost budget for January Birding Homes & Feeders Inc. Direct Labor Cost Budget For the Month Ending January 31 Fabrication Department Assembly Department Total Hours required for production: Bird house Bird feeder Total $X$ $ Hourly rate Total direct labor cost $ 5. Prepare a factory overhead cost budget for January Birding Homes & Feeders Inc. Factory Overhead Cost Budget For the Month Ending January 31 Indirect factory wages Depreciation of plant and equipment Power and light Insurance and property tax Total factory overhead cost 6. Prepare a cost of goods sold budget for January, Work in process at the beginning of January is estimated to be $9,000, and work in process at the end of January is estimated to be $10.500. For those boxes in which you must enter subtracted or negative numbers use a minus sign Birding Homes & Feeders Inc. Cost of Goods Sold Budget For the Month Ending January 31 Finished goods Inventory, January 1 Work in process inventory, January 1 Direct materials: dropdown Direct materials inventory, January 1 55 Direct materiais purchases Cost of direct materials available for use 5 Direct materials inventory, January 31 V Cost of direct materiais placed in production SS Direct labor Factory overhead Total manufacturing costs Total work in process during period Work in process inventory, January 31 Cost of goods manufactured Cost of finished goods available for sale Finished goods inventory, January 31 V Cost of goods sold 35 7. Prepare a selling and administrative expenses budget for January Birding Homes & Feeders Inc. Selling and Administrative Expenses Budget For the Month Ending January 31 Selling expenses: Sales salaries expense Advertising expense S$ $$ Travel expense-selling Total selling expenses Administrative expenses: Office salaries expense Depreciation expense-office equipment Office supplies expense Miscellaneous administrative expense $$ UMI Total administrative expenses Total operating expenses $$ 8. Prepare a budgeted income statement for January. In the other revenue and expense section, 8. Prepare a budgeted Income statement for January. In the other revenue and expense section, indicate expenses as negative amounts. $$ Birding Homes & Feeders Inc. Budgeted Income Statement For the Month Ending January 31 Revenue from sales Cost of goods sold Gross profit Operating expenses Selling expenses 5$ 55 Administrative expenses Total operating expenses Operating income Other revenue and expense Interest revenue Interest expense v Income before income tax Income tax expense $$ Net income SS