Pet Luggage Company makes two pet carriers, the Cat alla and the Dog critic. They are both made of plastic with metal doors, but the Catalac is smaller Pet Luggage uses an activity based costing system and classifies overhead into three activity pools: Setup, Processing and inspection Activity rates for these Information for the two products for the month of April is given in the following tables: activities are $120 persetup-hour $10 per machine-hour, and $10 per inspection hour, respectively, Other information follows Click the icon to view the information for the two products.) Click the icon to view the other information.) Pet Luggage accounts for direct materials using a FIFO cost How assumption Read the reguirements Click the icon to view the account information Product Information ---- For the Month of April Units Selling price Total revenues Other information Input Prices Cat-allas 460 $ 210 $ 96,500 Direct materials Dog eriti 256 300 76,500 Pisto $ per pound Cost Driver Information 173,100 Metal Total $5 per pound Cat-allac Dog-errific Direct manufacturing labor 512 per direct manufacturing labor hour Requirement 2. Prepare the production budget in units Number of units per batch 20 10 Input Quantities per Unit of Output Production Budget (in Units) Setup time per batch 1.25 hours 2.25 hours Cat-allas Dogeriffe For the Month of April Inspection time perbach 0.5 hours 0.5 hour Direct materials Cat-allas Dog-erific If necessary, round up to calculate number of batches Plastic 5 5 pounds Nonmanufacturing fixed costs for March equal $40,000, half of which are salaries Budgeted units sales 480 255 7 pounds Salaries are expected to increases in April Other romanufacturing fixed costs Metal 0.5 pounds 1 pound 40 Add targetending finished goods inventory 20 will remain the same. The only variable nonmanufacturing cost is sales commission, ecual to 1% of sales revenue Direct manufacturing labor hours (DVLH) 3 hours 5 hours Total required units 500 275 Machine hours (MH) 12 MH 19 MH 35 Deduct beginning finished goods inventory 480 Inventory Information Direct Materials 240 Account Information Units of finished goods to be produced Plastic Metal Requirement 3. Prepare the direct material usage budget and direct material purchases budget Beginning inventory 220 pounds 70 pounds Begin with the physical units portion, then prepare the cost budget portion of the direct material usage budge Sales and Inventory Information, Finished Goods Taryel ending inventory 370 pounds 85 pounds Catallas Dog-eriffa Cost of beginning inventory $ $ Direct Material Usage Budget in Quantity and Dollars 217 Expected sales in units 460 258 For the Month of April Selling price $ 210 S 300 Material Target ending inventory in units 40 Plastic Metal Total Print Done Beginning inventory in units 20 Physical Units Budget Beginning inventory in dollars $ 2.000 $ 6,510 Direct material required for Pet Luggage uses a FIFO cost-flow assumption for finished-goods inventory. C- be Dog-errific be Total quality of direct material to be used be Done Pena le Its Print