Deleon Inc. is preparing its annual budgets for the year ending December 31, 2020. Accounting assistants furnish the data shown below. Product Product JB 50 JB 60 Sales budget: Anticipated volume in units 400,000 200,000 Unit selling price $20 $25 Production budget: Desired ending finished goods units 30,000 15,000 Beginning finished goods units 25,000 10,000 Direct materials budget: Direct materials per unit (pounds) 2 3 Desired ending direct materials pounds 30,000 10,000 Beginning direct materials pounds 40,000 15,000 Cost per pound $3 $4 Direct labor budget: Direct labor time per unit 0.4 0.6 Direct labor rate per hour $12 $12 Budgeted income statement: Total unit cost $13 $20 An accounting assistant has prepared the detailed manufacturing overhead budget and the selling and administrative expense budget. The latter shows selling expenses of $560.000 for product JB 50 and $360,000 for product JB 60, and administrative expenses of $540,000 for product JB 50 and $340,000 for product JB 60. Interest expense is $150,000 (not allocated to products). Income taxes are expected to be 30%. (a) Your answer is correct. Prepare the sales budget for the year, DELEON INC. Sales Budget For the Year Ending December 31, 2020 JB 50 JB 60 Total Expected Unit Sales 400000 200000 Unit Selling Price 20 $ 25 Total Sales $ 8000000 $ 5000000 $ 13000000 (b) Your Answer Correct Answe Your answer is correct Prepare the production bucleet for the year. DELEON INC. Production Budget For the Year Endin December 31, 2020 JB 50 JB 60 Exporter United LADCERO 2002203 Add : Desiree Ending Finished Goods Units v 30000 15000 Tula Recuired Units 42000 215.00 Les Bein Fished Cours Urits -25000 -10000 Required Production Urics 40SCOC 205000 Textbook and Media Allempls: 5 of 5 used ic) Your Answer Correct Answer Your answer is reet Prepare the direct materials bustees for the year. DELEON INC. Direct Materials Budget For the Year Earling Drenrber 21 2020 JB 50 JB 60 Total 4CSCO 205000 2 810000 6150 - Maras Hand 2 TEX) HACO 62.00 toiala Paund) -4C0CO i - 15030 i COCO $ 3 5 acs 24COCOS 5 7 24 10000 18/0000 cTextbook and Media Solution id) Your answer is correct. Prepare the direct labor budget for the year. (Round Direct lobor time per unit answers to 1 decimal place, eg. 52.5.) DELEON INC. Direct Labor Budget For the Year Ending December 31, 2020 JB 50 JB 60 Total du.cn 4050cc 2050cn ne (Hours) per Unit 40 .60 Direct Labor Hours 162000 12300U Astro Hour 12 12 bor Cost 192.4000 5 1476000 $ 3420000 Textbook and Media Attempts: 1 of 5 used le) Prepare the budgeledowiliple-lep income statement for the year. Nousin ome axes are not allocated in the products DELEON INC. Budgeted Income Statement For the Year Endire December 31.2020 JB 50 JB 60 Total $ $ $
