Crane Farm Supply Company manufactures and sells a pesticide called Snare. The following data are available for preparing budgets for Snare for the first $2$ quarters of $2025$ Sales:quarter $1.28,600$ bags: quarter $2.43,400$ bags. Selling price is $$62$ per bag. Direct materials: each bag of Snare requires $4$ pounds of Gumm at a cost of $$4$ per pound and $6$ pounds of Tart at $$1\mathrm{.}50$ per pound, Desired inventory levelsJanuary $1$ April $1$ July $1$ Type of Inventory Snare $($bags$)8,40012,50018\mathrm{.}400$ Gumm $($pounds$)9,50010,30013,400$ Tarr $($pounds$)14,50020,10025\mathrm{.}1005.$ Direct labor: direct labor time is $15$ minutes per bag at an hourly rate of $$16$ per hour. Selling and administrative expenses are expected to be $15\%$ of sales plus $$178000$ per quarter. Interest expense is $$100,000$ for $2$ quarters $.$ Income taxes are expected to be $20\%$ of income before income taxes. Your assistant has prepared two budgets: $(1)$ the manufacturing overhead budget shows expected costs to be $125\%$ of a cost, and $(2)$ the direct materials budget for Tarr shows the cost of Tarr purchases to be $$299000$ in quarter $1$ and $4265002($Note: Do not prepare the manufacturing overhead budget or the direct materials budget for Tarr.$)$

$1.)$Prepare the direct materials budget$($round cost per pound answers to $2$ decimal places, eg $52\mathrm{.}70),$ the direct larbor budget $($enter direct larbor time per unit in proportion to hours, eg for $45$ minutes the proportion will be $0\mathrm{.}75,$ and the selling and administrative budget. $2.)$Prepare the budgeted mulipe$-$step income statement for the first $6$ months. $($round intermediate calulations to $2$ decimal places and the final answer to $0$ decimal places $,$ e$.$g $1,255.)$