please prepare a direct materials budget, schedule expected cash payments for purchases, direct labor budget, manufacturing overhead, selling and admistrative budget, and cash budget

Waterways Corporation is preparing its budget for the comingyear, 2020 The frut step is to plan for the ferst quarter of that coming year. The company has gathered infortation from its managers in preparation of the budigeting procens. Waterways likes to keep 10N of the next monthis und sales in endirs imwertory. Al sales are on account aS\% of the Actounts receivathe en Decrmber 31,7014, taled $185.400. DirestMaterials Other information The Cashbalance on December 31,2019 , toteled $102,000, but management has decided it would like to maintain a cami balance of at least $700,000 beginning on Janiary 31, 2020 Dividends are poid each month at the rate of $260 per share for 5280 chares outstandine. The compary his an open lini of credit with Romreys Bank. The terms of the agreement requires borrowing to be in $1,000 increments at 9 Ginterest. Waterways tio rews an the first day of the month and repwr on the last day of the month A $40,000 equament purchase is planined for February. Direct materials cont 80 cents per pound. Two pounds of direct miaterials are required to aroduce cach unit. Waterways likes to keep 5 . of the materials needed for the next month in its ending irventory. Raw Materials on December 31.2019. fotaled 11,370 pounds. Payment for materials is made within 15 days. 50% b paid in the month of purchase, and 50% is paid in the monthafter purchase. Aacounts Payable on December 31, 2019, totaled $104,580 Direct Labor: Labor requires 12 minutes per unit for completion and is paid at a rate of $9 per hour. \begin{tabular}{|l} \hline WATERWAYS CORPORATION Direct Materlals Budget \\ \hline \end{tabular}