Iguana, Inc., manufactures bamboo picture frames that sell for $25 each. Each frame requires 4 linear feet of bamboo, which costs $2.50 per foot. Each frame takes approximately 30 minutes to build, and the labor rate averages $14 per hour. Iguana has the following inventory policies:

Ending finished goods inventory should be 40 percent of next months sales.

Ending raw materials inventory should be 30 percent of next months production.

Expected unit sales (frames) for the upcoming months follow:

March	350
April	400
May	450
June	550
July	525
August	575

Variable manufacturing overhead is incurred at a rate of $0.40 per unit produced. Annual fixed manufacturing overhead is estimated to be $10,800 ($900 per month) for expected production of 4,000 units for the year. Selling and administrative expenses are estimated at $950 per month plus $0.60 per unit sold. Iguana, Inc., had $11,900 cash on hand on April 1. Of its sales, 80 percent is in cash. Of the credit sales, 50 percent is collected during the month of the sale, and 50 percent is collected during the month following the sale.

Of raw materials purchases, 80 percent is paid for during the month purchased and 20 percent is paid in the following month. Raw materials purchases for March 1 totaled $4,000. All other operating costs are paid during the month incurred. Monthly fixed manufacturing overhead includes $300 in depreciation. During April, Iguana plans to pay $2,000 for a piece of equipment.

Required: Compute the following for Iguana, Inc., for the second quarter (April, May, and June). 2nd Quarter April May June Total 1. Budgeted sales Revenue 10,000 11,250 13,750 35,000 2. Budgeted Production in Units 240 450 1,240 550 3. Budgeted Cost of Raw Material Purchases s 2400 S 4,500 5.500 12.400 S 0 0 S 0 0 4. Budgeted Direct Labor Cost S 0 0 0 0 5. Budgeted Manufacturing overhead 0 0 05 0 6. Budgeted Cost of Goods Sold. S 0 S 0 S 015 0.00 7. Total Budgeted Selling and Adm. Expenses