PR 22-2B Sales, production, direct materials purchases, and direct labor cost budgets Obj. 4 X The budget director of Royal Furniture Company requests estimates of sales, production, and other operating data from the various administrative units every month. Selected information concerning sales and production for February is summarized as follows: a. Estimated sales of King and Prince chairs for February by sales territory: Excel Northern Domestic King. Prince 610 units at $780 per unit 750 units at 5550 per unit 340 units at 5780 per unit 440 units at $550 per unit Southern Domestic King. Prince International King Prince 360 units at 5850 per unit 290 units at 5600 per unit b. Estimated inventories at February 1 heroducts Direct mare be Wood syds unt b. Estimated inventories at February 1: Direct materials: Fabric Wood Finished products: King... Prince 420 sq yds 580 linear ft. 250 cu.ft. 660 units 90 units 25 units Filler ... Springs. c. Desired inventories at February 28: Direct materials: Fabric Wood Filler Springs. Finished products: King. Prince 390 sq yds. 650 linear ft. 300 cu.ft. 540 units 80 units 35 units d. Direct materials used in production In manufacture of King: Fabnc Wood 60 vs per unit of product arit per unit of product 15 un nen o roduct In manufacture of Prince oduce d. Direct materials used in production: In manufacture of King Fabric Wood Filler Springs.. In manufacture of Prince: Fabric Wood Filler Springs. 60 sq yds. per unit of product 38 linear ft.per unit of product 42 cu.ft per unit of product 16 units per unit of product 40 sq yds per unit of product 26 linear ft. per unit of product 34 cu.ft. per unit of product 12 units per unit of product e. Anticipated purchase price for direct materials: Fabric Wood $12.00 per sq.yd. $7.00 per linear ft. Filler Springs $3.00 per cu.ft $4.50 per unit f. Direct labor requirements: King 1.2 hrs. at $12 perht. 0.5 ht at $14 per he 0.8 hr at $15 per hr Framing Department Cutting Department Upholstery Department Prince: Framing Department Cutting Department Upholstery Department 10 hat 512 perhe Out 514 per hr 05hr, at 515 peh Go to PE 1103 A Fabric Wood $12.00 per sq.yd. $7.00 per linear it. Filler Springs $3.00 percut 54.50 per unit 1. Direct labor requirements: King Framing Department. Cutting Department. Upholstery Department Prince: Framing Department Cutting Department Upholstery Department 1.2 hrs. at 512 perhe Shtat 514 perhe 0.8 heat 515 per hr 10 h 512 per hr A hea 514 perhe 0.6 h at $15 per Instructions 1. Prepare a sale budget for February 2. Prepare a production budget for February 3. Prepare a direct materiala purchases budget for February 4. Prepare a direct labor cost budget for February PR 22-38 Budgeted income statement and supporting budgets 299