Piano Supplies Inc. is preparing budgets for the upcoming quarter, July to September. Budgeted sales (in units) for the next five months are: July August September October November 9,400 18,200 16,800 12,400 11,800 . Below is additional information that may be relevant in preparing the budgets. The company produces and sells piano tuning kits for $30.00 per unit. To guard against inventory stockouts, the company has a policy of maintaining an ending inventory of 15 percent of the following month's budgeted sales. At the beginning of July, Piano Supplies Inc. had 1,410 piano tuning kits in inventory. Each unit of output requires 2.5 kilograms of direct material. To guard against stockouts of raw materials, the company has a policy of maintaining a raw materials inventory of 20 percent of the following month's production. At the beginning of July, Piano Supplies Inc. has 5,360 kilograms of direct materials on hand. Each kilogram of direct materials costs $2.20. Each unit of output requires 0.1 hours (6 minutes) of direct labour and employees are paid a standard rate of $24.00 per hour. Piano Supplies Inc. applies overhead using a variable rate of $12.00 per direct labour hour. The fixed overhead is $22,425 per month. Of that amount, $2,000 are non-cash costs, such as depreciation on assets. Fifty percent of sales are made in cash. The remaining 50% of sales are made on account. The company collects 65% of sales made on account in the month of the sale, 20% in the . month following the sale, and 10% in the second month following the sale. Piano Supplies Inc had total sales of $126,000 in May and $189,000 in June. Piano Supplies Inc. pays of half of its direct materials purchases in the month of the purchase and the remaining half in the month following the purchase. At the beginning of the quarter, Piano Supplies Inc. owed its creditors $20,779 for purchases of direct materials. Required: (A) Prepare a sales budget for the months of July, August, and September, and for the quarter. (B) Prepare a production budget for the months of July, August, and September, and for the quarter-end. [Note: you might want to compute the production needs for October, since you will need that information for subsection (C)] (C) Prepare the direct materials purchases budget for the months of July, August, and September, and for the quarter-end. (D) Prepare the direct labour budget for the months of July, August, and September, and for the quarter-end. (E) Prepare the overhead budget for the months of July, August, and September, and for the quarter-end. (F) Prepare the ending finished goods inventory budget for the quarter ending September 31. (G) Prepare a schedule showing cash receipts from sales expected for the months of July, August, and September. (H) Prepare the cash payments on accounts payable schedule for the months of July, August, and September