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Please answer attached questions. Glendo Farm Supply Company manufactures and sells a pesticide called Snare. The following data are available for preparing budgets for Snare

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Glendo Farm Supply Company manufactures and sells a pesticide called Snare. The following data are available for preparing budgets for Snare for the first 2 quarters of 2014. 1. Sales: Quarter 1, 28,800 bags; quarter 2, 43,200 bags. Selling price is $61 per bag. Direct materials: Each bag of Snare requires 5 pounds of Gumm at a cost of $4 per pound and 8 pounds of 2. Tarr at $1.50 per pound. 3. Desired inventory levels: Type of Inventory Snare (bags) Gumm (pounds) Tarr (pounds) January 1 April 1 July 1 8,200 12,200 18,300 9,300 10,300 13,500 14,400 20,100 25,500 4. Direct labor: Direct labor time is 15 minutes per bag at an hourly rate of $16 per hour. 5. Selling and administrative expenses are expected to be 15% of sales plus $177,000 per quarter. 6. Income taxes are expected to be 30% of income from operations. Your assistant has prepared two budgets: (1) The manufacturing overhead budget shows expected costs to be 150% of direct labor cost. (2) The direct materials budget for Tarr shows the cost of Tarr purchases to be $302,000 in quarter 1 and $426,000 in quarter 2. Don't show me this message again for the assignment (a) Your answer is partially correct. Try again. Prepare the sales budget. GLENDO FARM SUPPLY COMPANY Sales Budget For the Six Months Ending June 30, 2014 Quarter 1 2 Expected unit sales Unit selling price $ Total sales $ Prepare the production budget. GLENDO FARM SUPPLY COMPANY Production Budget For the Six Months Ending June 30, 2014

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