Mercury Bag Company produces cases of grocery bags. The managers at Mercury are trying to develop budgets for the upcoming quarter. The following data have been gathered:

Projected sales in units		1,990	cases
Selling price per case	$	240
Inventory at the beginning of the quarter		150	cases
Target inventory at the end of the quarter		100	cases
Direct labor hours needed to produce one case		2	hours
Direct labor wages	$	10	per hour
Direct materials cost per case	$	8
Variable manufacturing overhead cost per case	$	6
Fixed overhead costs for the upcoming quarter	$	220,000

a.

Using the above information, develop Mercury's sales forecast in dollars and production schedule in units.

[Budgeted Sales (in dollars) ][ ]

[Planned production (cases) ][ ]

b.	What is Mercury's budgeted variable manufacturing cost per case? [Total variable cost per case][ ] C.) Prepare Mercury's manufacturing cost budget. (Round your cost per unit answer to 2 decimal places.)

d.	What is the projected ending value of the Inventory account? (Round your intermediate calculations to 2 decimal places and final answer to the nearest dollar amount.) [Ending inventory value][ ]

Variable manufacturing c Total variable manufacturing costs Total cost of finished goods manufactured