I. Lucy Company estimates that sales (units) will be 12,000 in quarter 1; 14,500 in quarter 2; 16,000 in quarter 3; and 19,000 in quarter 4. The selling price is expected to be $60 per unit. Prepare a sales budget for quarters 1 - 4 for the year ending December 2021. 01 02 03 04 Total Est. Sales (units) X Est. Price Total II. Estimated sales are given in #1 above. Management requires an ending inventory (finished goods) equal to 8% of next quarter's expected unit sales. Prepare a production budget for the first 3 quarters of 2021 01 02 03 04 Total Exp. Unit Sales Desired End. FG Total Units Available |- Beg. FG Required Units to Produce Equal to 8% of Quarter l's expected unit sales (or previous quarter's ending FG balance) 01 02 Units to be Produced X DM per unit (pounds) Total pounds needed for production I+Desired ending inventory Total Materials Required (pounds) - Beg. Inv. =DM Purchases (Pounds) x Unit Price Total Cost of DM Purchases 1. Lucy Company's production units are: in quarter 1 and in quarter 2. It takes 75 hours to make 1 unit. The expected hourly wage is $20.50 per hour. Prepare a direct labor budget for quarters 1 and 2. Q1 Q2 Units to be Produced x DL units (hours) = Total Required DL Hours XDL por Hour = Total DL Costs 18,757,500 22,478,250