• Mosman Ltd. is preparing its annual budgets for the year ending December 31, 2020. Accounting assistants furnish the data shown below. (Prices and costs are in Australian dollars.) Product JB 50 Sales budget: Anticipated volume in units: 400,000 Unit selling price: $20 Production budget: Desired ending finished goods units: 30,000 Beginning finished goods units: 25,000 Direct materials budget: Direct materials per unit (kilograms): 2 Desired ending direct materials kilograms: 30,000 Beginning direct materials kilograms: 40,000 Cost per kilogram: $3 Direct labor budget: Direct labor time per unit: 0.4 Direct labor rate per hour: $12 Budgeted income statement: Total unit cost: $13 Product JB 60 Sales budget: Anticipated volume in units: 200,000 Unit selling price: $25 Production budget: Desired ending finished goods units: 15,000 Beginning finished goods units: 10,000 Direct materials budget: Direct materials per unit (kilograms): 3 Desired ending direct materials kilograms: 10,000 Beginning direct materials kilograms: 15,000 Cost per kilogram: $4 Direct labor budget: Direct labor time per unit: 0.6 Direct labor rate per hour: $12 Budgeted income statement: Total unit cost: $20 An accounting assistant has prepared the detailed manufacturing overhead budget and the selling and administrative expense budget. The latter shows selling expenses of $560,000 for product JB 50 and 1$360,000 for product JIB 60, and administrative expenses of $540,000 for product JB 50 and $340.000 for product JIB 60. Interest expense is $150,000 (not allocated to products). Income taxes are expected to be 30%. Instructions Prepare the following budgets for the year. Show data for each product. Quarterly budgets should not be prepared a. Sales. b. Production. c. Direct materials d. Direct labor. e. Multiple-step income statement (Note: income taxes are not allocated to the products)