EXERCSE 10-4. Sales Budget LO 2] Locksafe Company manufactures burglar-resistant com- mercial door lodks. Recently the company began selling locks on the Web, and the company ex- pacts sales to increase dramaticallly compared with the prior year. For the past year, 2017, unit sales ware: EXCEL 23,000 units First quarter Second quarter Third quarter Fourth quarter 28,000 units 27000 units 32,000 units REQUIRED Assume that total unit sales for cach quarter in 2018 wil be 20 percent higher than in 2017 and that the selling price per lock is $25. Prepare a sakes budget by quarter for 2018 EXERCISE 10-5. Sales Budget for Service Company [LO 2 Oregon Adventures provides tours of scenic lbcations in Oregon. The company expects tours taken to increase dramatically pared with the prior ycar. For the past year. 2017, the number of tours given were as follows: com 6.000 First quarter Second quarter Third quarter Fourth quarter 7 000 10,000 9.000 REQUIRED Assume that sales for each quarter in 2018 will be 35 percent higher than in 2017 and that the price per tour is $75. Prepare a sales budget by quarter for 201s EXERCISE 10-6. Production Budget (LO 21 VitaPup produces a vitamin-enhanced dog food that is sold in Kam sas. The company expects sales to be 13,000 bags in January 14.900 bags in February, 19,400 bags in March, and 22.000 bags in April Thecre ae 1.300 bags on hand at the start of lanuary. VitaPup desires to maintain monthly ending inventory equal to 15 peroent of next months expected saks REQUIRED Prepare the prodaction budget for VitaPup for the months of January Febeuary and March. R 10 Budgetary Planning and Control EXCEL EXERCISE 10-7. Direct Materials Purchases Budget (LO 21 Rochler Industrial has estimated that production for the next five quarters will be Production Information Ist quarter, 2017 2nd quarter. 2017 3rd quarter. 2017 th quarter, 2017 Ist quarter, 201S 45,000 units 41,000 units 49,000 units 38,000 units 47 000 units Finaished units of production requires pounds oftaw matfal peT unt. Theraw material costis $7 per pound There is $283,500 of raw material on hand at the gnning of the first quarter, 2017. Rochker desires to have 15 percent of next quarker's mater ial requirements on hand at the end of cach quarter REQUIRED Prepare quarterly direct materials purcha ses biudgets bor Rochler Ind ustrial for 2017 P