Igloo Inc. is preparing its annual budgets for the year ending October 31, 2023. Accounting assistants have provided the following data for it's two products:

Aces Zeds

Sales budget

Expected volume in units 400,000 240,000

Unit selling price $30 $35

Production budget

Desired ending finished goods units 30,000 20,000

Beginning finished goods units 20,000 15,000

Direct materials budget

Direct materials per unit (kilograms) 2 3

Desired kilograms of ending direct materials 50,000 15,000

Beginning kilograms of direct materials 40,000 10,000

Cost per kilogram $2 $3

Direct labour budget

Direct labour time per unit (hours) 0.5 0.7

Direct labour rate per hour $12 $12

Budgeted income statement

Total unit cost $11 $20

An accounting assistant has prepared the detailed manufacturing overhead budget and the selling and administrative expenses budget. The latter shows selling expenses of $850,000 for Aces and $390,000 for Zeds, and administrative expenses of $520,000 for Aces and $180,000 for Zeds. Income taxes are expected to be 30%.

Prepare the sales budget, production budget, direct materials budget, direct labour budget and income statement. From those, answer the following questions;

1. Sales, Aces

2. Sales, Zeds

3. Required units, Aces

4. Required units, Zeds

5. Required production in units, Aces

6. Required production in units, Zeds

7. Hours required for production, Aces

8. Hours required for production, Zeds

9. Cost of direct labour, Aces

10. Cost of direct labor, Zeds

11. Total materials required, Aces

12. Total materials required, Zeds

13. Costs of materials purchased, Aces

14. Costs of materials purchased, Zeds

15. Selling and admin, Aces

16. Selling and admin, Zeds

17. Income tax expense

18. Cost of goods sold (Aces and Zeds)

19. Gross profit (Aces and Zeds)

20. Net income

[Choose/Options ]

171,500

$2,220,000

$6,482,000

$1,370,000

870,000

$2,778,000

245,000

$11,200,000

410,000

$1,660,000

$8,400,000

$2,460,000

260,000

$570,000

$2,058,000

$9,200,000

430,000

$12,000,000

205,000

750,000