Cupey Campus Business School Graduate program Rafael Marrero, PhD May 2020 Simple budget problem Instructions: This task is individual, you must send in an email, prepare using the Excel program, demonstrate the use of formulas. In your email you must put as subject: BUDGET. You must send no later than Saturday, May 16 at 11:59 pm. The Corp. Tela produces one-size t-shirts. For each shirt you need 2 yards of fabric. The t-shirts are prepared without design and in addition to the fabric you need thread. The thread is part of the indirect costs. The fabric yard costs $ 0.75. It takes 10 minutes of direct labor to produce each shirt. The company pays its employees $ 8.00 an hour. Indirect costs are estimated at a rate of $ 0.60 per hour of direct labor. Fixed production costs are estimated at $ 10,000. Variable administrative and selling expenses are estimated at $ 0.20 for each sale dollar and $ 2,000 fixed. You have been asked to prepare the budget for 2020. Sales of 600,000 shirts have been projected at $ 48.00 per dozen. Inventories: The initial inventory of T-shirts is 1,200 and the end is 1,800. There is no inventory of goods in process. The initial fabric inventory is 60 yards and the end is 120 yards. Required: Prepare the corresponding budget for the year 2021, you must prepare your answer on the computer, using the Excel program. In addition, you must prepare the projected income and expense statement for the year ending December 31, 2021