Exercise 1) Using the template provided to you, create a sales budget, production budget, direct materials purchases budget, and direct labor budget. Only rows that say 2D should have 2 decimal places. All other numbers should be rounded to the nearest unit or dollar amount (i.e., no decimals). Volcano Company is a high-technology organization that produces a mass-storage system. The units Volcano produces combine positive features of both compact and hard disks. The company is completing its fifth year of operations and is preparing to build its master budget for the coming year (2023). The budget will detail each quarter's activity and the activity for the year in total. The master budget will be based on the following information: a. Fourth-quarter sales for 2022 are 55,000 units. b. Unit sales by quarter (for 2023) are projected as follows: The selling price is $548 per unit. All sales are credit sales. Volcano collects 85% of all sales within the quarter in which they are realized; the other 15% is collected in the following quarter. There are no bad debts. c. There are 1,330 units in beginning inventory of finished goods. Volcano is planning the following ending finished goods inventories for each quarter. d. Each mass-storage unit uses 3.25 hours of direct labor and 4.25 units of direct materials. Laborers are paid $19.79 per hour, and one unit of direct materials costs $68.95. e. At the end of each quarter, Volcano plans to have 22.77% of the direct materials needed for next quarter's production needs. Volcano will end the year with the same amount of direct materials found in the year's beginning inventory