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2019 Projected Sales Product Units Price Widget 62,000 S 165 Thingamajig 40,000 $ 250 2019 Inventories in Units Expected Target Product January 1, 2019 December 31, 2019 Widget 26,000 31,000 Thingamajig 12,000 13,000The following direct materials are used to produce one unit of Widget and Thingamajig: Amount Used per Unit Direct Material Unit Widget Thingamajig A Kilograms 6 B Kilograms 4 5 C Each O 3 Projected data for 2019 with respect to direct materials are as follows: Anticipated Expected Target Inventories Direct Purchase Inventories December 31, Material Price January 1, 2019 2019 A 13 32,000 kilograms 35,000 kilograms B $ 6 28,000 kilograms 33,000 kilograms 3 7,000 units 10,000 unitsProjected direct manufacturing labour requirements and rates for 2019 are as follows: Product Hours per Unit Rate per Hour Widget 14 Thingamajig 5 16Based on the preceding projections and budget requirements for Widgets and Thingamajigs, prepare the following budgets for 2019: 1. Revenues budget (in dollars) 2. Production budget (in units) 3. Direct material purchases budget (in quantities) 4. Direct material purchases budget (in dollars) 5. Direct manufacturing labour budget (in dollars) 6. Budgeted finished goods inventory at December 31, 2019 (in dollars)Two products are manufactured by the Russell Corporation: Widgets and Thingamajigs. In July 2018, the controller of Russell, upon instructions from senior management, had the budgeting department gather the following data in order to prepare budgets for 2019: (Click the icon to view the budget data.) E(Click the icon to view the actual and projected direct materials data.) (Click the icon to view the projected direct manufacturing labour data.) Manufacturing overhead is allocated at the rate of $19 per direct manufacturing labour-hour. Required Requirement 1. Prepare the revenues budget (in dollars). Russell Corporation Revenue Budget for 2019 Units Price Total Widget Thingamajig Projected salesRequirement 2. Prepare the production budget (in units). Russell Corporation Production Budget (in units) for 2019 Widget Thingamajig Budgeted sales in units Add: Target finished goods inventories, Dec. 31, 2019 Total requirements Deduct: Finished goods inventories, Jan. 1, 2019 Units to be producedRequirement 3. Prepare the direct material purchases budget (in quantities). (For entries with a 0 balance, make sure to enter "0" in the appropriate field.) Russell Corporation Direct Materials Purchases Budget (in quantities) for 2019 Direct Materials A B C Direct materials to be used in production Widget Thingamajig Total Add: Target ending inventories, Dec. 31, 2019 Total requirement in units Deduct: Beginning inventories, Jan. 1, 2019 Direct materials to be purchased (units)Requirement 4. Prepare the direct material purchases budget (in dollars). Russell Corporation Direct Materials Purchases Budget (in dollars) for 2019 Budgeted Expected Purchases Purchase (Units) Price per Unit Total Direct material A Direct material B Direct material C Budgeted purchasesRequirement 5. Prepare the direct manufacturing labour budget (in dollars). Russell Corporation Direct Manufacturing Labour Budget (in dollars) for 2019 Budgeted Direct Manufacturing Production Labour-Hours Total Rate per (Units) per Unit Hours Hour Total Widget Thingamajig TotalRequirement 6. Prepare the budgeted finished goods inventory at December 31, 2019 (in dollars). Begin by calculating finished goods for Widget. Then calculate finish goods for Thingamajig and the total budgeted finished goods. (For entries with a $0 balance, make sure to enter "0" in the appropriate field.) Russell Corporation Budgeted Finished Goods Inventory at December 31, 2019 Widget: Direct materials costs: A C Direct manufacturing labour costs Manufacturing overhead costs per direct manufacturing labour-hour Budgeted manufacturing costs per unitFinished goods inventory of Widget Thingamajig: Direct materials costs: A B Direct manufacturing labour costs Manufacturing overhead costs per direct manufacturing labour-hour Budgeted manufacturing costs per unit Finished goods inventory of Thingamajig Budgeted finished goods inventory, December 31, 2019