Learning Objective 3 3. POHR $11 4. Adult bats COGS 565,450 > Problems Group B P22-47B Preparing an operating budget-sales, production, direct materials, direct labor, overhead, COGS, and S&A expense budgets The Irwin Batting Company manufactures wood baseball bats. Irwin's two primary products are a youth bat , designed for children and young teens, and an adult bar, designed for high school and college-aged players. Irwin sells the bats to sporting stores, and The youth barsel for $15 the bat so for . Inchiesto volume is in the first three months of the years Slasse Budgets 126 April stalleres propere for the spent baseball season. Inte balance sheet for December 31, 2018, follows: expenses - the first 5 6.500 IRWIN BATTING COMPANY Balance Sheet December 31, 2018 Assets Current Assets Cash $ 20.000 Accounts Receivable 18.500 Raw Materials inventory 9,000 Finished Goods inventory 16.000 Total Current Assets Property, plant, and Equipment Equipment 130,000 Les Accumulated Depreciation 70.000 Total Arts Liabilities Current Liabilities Accounts Payable Stockholders' Equity Common Stock, no par 590,000 Retained Earnings 21.900 Total Stockholders' Equity Total Llabilities and Stockholders' Equity 50.000 5123,500 Total . 5 11,600 . $ 35,400 1,200 18.200 10.120 7.39 2.214 5 5.166 111.300 5 123.500 ring by facturing bull projects FIRO y costing method is used Other data for Irwin Batting Company for the fint quarter of 2019 Budgeted sales are 1,400 south bars and 1,000 adult late Finished Goods Inventory on December 31, 2018, consists of 70 youth buat 515 each and 550 adult bats at $10 each Derited ending Fished Goods Inventory is 220 youth bees and 300 adult hats Direct material requirements are 40 counces of wood for youth bats and 70 concen of wood for adult bats. The cost of wood is $0.10 per ounce Raw Materials Inventory on December 31, 2018.com.ts of ounces of Desimlending Raw Materials inventory concer indirect matemals are ignificant and not condered for budgeting purposes) Blade bateryales Bhou of direct latior; direct labour costs werage od at $10 per ounce rarerits, per hour 1 Vare manufacturing this perut Led many otheal includes 100 percepcionand 114 focs, such as insurance and property , Re CHAPTER 22 1268 Chapter 22 1. 1. Fixed selling and administrative expenses a $13,000 per quarter for salaries $3.50 per quarter for rent: $1,400 per que or insurance, and $450 per quarter k. Variable selling and administrative expenses include supplies at 1% of sales for depreciation 2. P22-491 Requirements 1. Prepare Irwin's sales budget for the first quarter of 2019. 2. Prepare Irwin's production budget for the first quarter of 2019. Ball 3. Prepare Irwin direct materials, direct labor budget, and manufacturing overhead budget for the first quarter of 2019. Round the predetermined overhead Allocation rate to two decimal places. The overhead allocation base is direct labor hours. 4. Prepare Irwin's cost of goods sold budget for the first quarter of 2019, 5. Prepare Irwink selling and administrative expense budget for the first quarter of 2119