A. Dryer Manufacturing produces and sells containers designed to hold liquid beverages. The sales budget for 2011 is as follows: 1st quarter ❝ 90,000 units 3rd quarter ❝ 135,000 units 2nd quarter ❝ 120,000 units 4th quarter ❝ 105,000 units Dryer desires an ending inventory equal to 10% of the next quarter's sales. January 1, 2011 inventory is 9,000 units. Unit sales during the 1st quarter of 2012 are estimated at 90,000 units.

Instructions: Compute required production for the year, showing quarterly data.

B. Parker Manufacturers is preparing its direct labor budget for the second quarter of 2011 from the following budgeted production figures: April❝70,000 units; May❝100,000 units; and June❝110,000 units. Each unit requires 2 hour of direct labor. The hourly wage rates are expected to be $14 in April and May and $16 in June.

Instructions: Prepare a direct labor budget for the quarter, showing monthly data.

C. Carson's Widget Works makes 70% of its sales on credit. Experience shows that 60% of the credit customers pay in the month of sale, 30% within the following month, the rest in the next month. Total sales for May, June, July, and August are estimated at $210,000; $240,000; $300,000; and $250,000, respectively.

Instructions: 

Determine budgeted cash receipts for July and August.