ignment Problem 9-1A (Part Level Submission) Cook Farm Supply Company manufactures and sells a pesticide called Snare. The following data are available for prep 1. Sales: quarter 1, 29,400 bags; quarter 2, 42,200 bags. Selling price is $62 per bag. 2. Direct materials: each bag of Snare requires 5 pounds of Gumm at a cost of $3.8 per pound and 6 pounds of Tarr a 3. Desired inventory levels: Type of Inventory Snare (bags) Gumm (pounds) Tarr (pounds) 1 April 1 July 1 8,100 12,200 18,500 9,300 10,100 13,100 14,100 20,200 25,200 Janua 4. Direct labor: direct labor time is 15 minutes per bag at an hourly rate of $16 per hour. 5. Selling and administrative expenses are expected to be 15% of sales plus $179,000 per quarter. 6. Interest expense is $100,000. 7. Income taxes are expected to be 30% of income before income taxes. Your assistant has prepared two budgets: (1) the manufacturing overhead budget shows expected costs to be 125% of dire (Note: Do not prepare the manufacturing overhead budget or the direct materials budget for Tarr.) Prepare the sales budget COOK FARM SUPPLY COMPANY Sales Budget All Rights Reserved. A Division of 2ahn Wiey &.Sns Inc