Check my work mode: This shows what is correct or Incorrect for the work you have completed so far. It does not indicate com Required Information The following information applies to the questions displayed below.) Iguana, Inc., manufactures bamboo picture frames that sell for $25 each. Each frome requires 4 linear feet of bamboo, which costs $2.00 per foot. Each frame takes approxdmately 30 minutes to bulld, and the labor rate averages $12.00 per hour. Iguana has the following Inventory policies: Ending finished goods Inventory should be 40 percent of next month's sales. Ending direct materials inventory should be 30 percent of next month's production Expected unit sales (frames) for the upcoming months follow: March April May June July Magust 275 250 300 400 375 425 Variable manufacturing overhead is incurred at a rate of $0.30 per unit produced. Annual fixed manufacturing overhead is estimated to be $7,200 ($600 per month) for expected production of 4,000 units for the year. Seling and administrative expenses are estimated at $650 per month plus $0.60 per unit sold Iguana, Inc., had $10,800 cash on hand on April 1. Of its sales, 80 percent is in cash Of the credit sales, 50 percent is collected during the month of the sale, and 50 percent is collected during the month following the sale. of direct materials purchases, 80 percent is paid for during the month purchased and 20 percent is paid in the following month. Direct materials purchases for March 1 totaled $2,000. All other operating costs are paid during the month incurred. Monthly fixed manufacturing overhead includes $150 in depreciation. During April, Iguana plans to pay $3,000 for a piece of equipment MacBook Air 11 4 go F3 200 oda FA ste 12 F6 18 FS $ 300 $ 7.500S 4,8305 62505 4,025$ $ (10,025) $ 12,030) 5 (16,040) $ (38,095) Budgeted Selling and Administrave Expenses Budgeted Net Operating income $ (10.025) $ (12.030) 5. (16,040) $ 38,006) MacBook Air go F3 ODO DOO F2 F7 55 F4 F8