Loomco Sales budget Production Budget Direct Materials Purchases Budget Leamco LearnCo manutactures and sell one product, an abacus for dassroom use, with two models, the Basic model and the Deluxe model. The company began operations on January 1 20Y1, and is planning for 2012, its second year of operations, by preparing budgets from its master budget The company is trying to decide how many units to manufacture, how much it might spend on direct materials and direct labor, and what their factory overhead expenses might be. In addition, the company is interested in budgeting for selling and administrative costs, and in creating a budgeted income statement showing a prediction of net income for 2012 You have been asked to assist the controller of Leanco in proparing the 2012 budgets. TATUM Learnco Salon Budget Production Budget Direct Materials Purchases Budget Direct Materials Purchase Budget Shaded ca feedback The direct materials. Phasen bastant should be integrated with the production budget to ensure that production is not interrupted during the year. Thin budget ontmates the quantities of direct materials to be purchased to support blackgated production, along with desired inventory levels of direct materials, Before you make any changes to the buopot, you rewow the information in the following Direct Materiais Data Table and enter the units to be produced mom the Production Budget panel. After scarving the direct materiale purchases budget (which follows the Direct Materials Data Table) you observe that Leanco han omitted quite a few numbers from the budget was missing amounts. You may need to use numbers from the Direct Material Data Tabia, or from the salon budget and production budget you prepared when required reund your answer to the nearest doar Direct Materials Data Table Wood Places Boods 1 2 2 3 Packages required per unit Basic abacus Deluxe abacus Cost per package Wood places Boads Units to be produced (from Production Budget): Basic abacus $0.25 $0.25 Mastery Problem: Budgeting Loanco Safes Budget Production Budget Direct Materials Purchases Budget Direct Materials Purchases Budget Shaded cells Leamco Direct Materials Purchases Budget For the Year Ending December 31, 2042 Direct Materials Wood Pieces Beads Total Packages required for production: Basic abacus Deluxe abacus Dosired Inventory, December 31, 2012 2,200 5,000 (3,500) (4,500) Total packages available Estimated inventory, January 1, 20Y2 Total packages to be purchased Unit price (per package) Total direct materials to be purchased 5 $72,888 Po Printem tery Problem: Budgeting anna Sales Budget Production Budget Direct Materiais Purohagen Budget Direct Labor Cost Budget Shaded pels have fedak Direct labor needs from the direct labor.cost.budget should be coordinated between the production and personnel departments so that there will be enough labor available for production Before you make any changes to the budget you review the information in the following Direct Labor Date Table and enter the unite to be produced from the Production Bludget panel Aer scanning the Direct Labor Cost Budget (which follows the Direct Labor Date Table you observe that LearnCo has omitted quite a few number from the budget in the missing amount. You may need to use numbers from the Direct Labor Data Tate, or from the sales budget production budget and direct materials purchases budget you prepared. When required, round your answers to the nearest dollar Direct Labor Data Table Gluing Assembly Hours required per unit Basic abacus 0.10 0.10 0.10 0.20 Deluxe abacus $11.00 Labor hourly rate: Gluing Assembly Units to be produced (from Production Budget): $19.00 Basic abacus Doluxo abacus Points 0/2 Mastery Problem: Budgeting Learnco Sales Budget Production Budget Direct Materials Purchases Budget Direct Labor Cost Budget LearnCo Direct Labor Cost Budget For the Year Ending December 31, 20Y2 Gluing Assembly Total Hours required for production: Basic abacus Deluxe abacus Total Hourly rate Total direct labor cost $288,660