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Diane Buswell is preparing the 2020 budget for one of Current Designs' rotomolded kayaks. Extensive meetings with members of the sales department and executive team have resulted in the following unit sales projections for 2020. Quarter 1 Quarter 2 Quarter 3 Quarter 4 1,300 kayaks 2,000 kayaks 950 kayaks 950 kayaks Current Designs' policy is to have finished goods ending inventory in a quarter equal to 25% of the next quarter's anticipated sales. Preliminary sales projections for 2021 are 1,100 units for the first quarter and 2,000 units for the second quarter. Ending inventory of finished goods at December 31, 2019, will be 325 rotomolded kayaks. Production of each kayak requires 52 pounds of polyethylene powder and a finishing kit (rope, seat, hardware, etc.). Company policy is that the ending inventory of polyethylene powder should be 20% of the amount needed for production in the next quarter. Assume that the ending inventory of polyethylene powder on December 31, 2019, is 20,800 pounds. The finishing kits can be assembled as they are needed. As a result, Current Designs does not maintain a significant inventory of the finishing kits. The polyethylene powder used in these kayaks costs $1,50 per pound, and the finishing kits cost $16beach. Production of a single kayak requires 2 hours of time by more experienced, type I employees and 3 hours of finishing time by type II employees. The type I employees are paid $13 per hour and the type II employees are paid $10 per hour Selling and administrative expenses for this line are expected to be $48 per unit sold plus $7,100 per quarter Manufacturing overhead is assigned at 140% of labor costs. Prepare the production budget for this product line by quarter and in total for 2020, CURRENT DESIGNS Production Budget Q1 Q2 Beginning Direct Materials Required Production Units Direct Materials Purchases Direct Materials Per Unit Expected Unit Sales Total Required Units Beginning Finished Goods Unit Total Materials Required Desired Ending Direct Materials Desired Ending Finished Goods Unit e Textbook and Media Save for Later Attempts: 0 of 1 used Submit Answer Prepare the production budget for this product line by quarter and in total for 2020. CURRENT DESIGNS Production Budget Q1 Q2 Total Materials Required Direct Materials Per Unit Direct Materials Purchases Beginning Direct Materials Required Production Units Beginning Finished Goods Unit Desired Ending Direct Materials Total Required Units Expected Unit Sales Desired Ending Finished Goods Unit e Textboom Prepare the production budget for this product line by quarter and in total for 2020, CURRENT DESIGN Production Budge Q1 Q2 Add Less e Textbook and Media Prepare the production budget for this product line by quarter and in total for 2020. CURRENT DESIGNS Production Budget December 31, 2020 For the Month Ending December 31, 2020 For the Year Ending December 31, 2020 Q3 Q4 Total e Textbook and Media