Prepare the direct labor budget (Enter any hours as a decimal to two places, X.XX, and round all other amounts to the nearest whole number.) Preston, Inc. Direct Labor Budget For the Year Ended December 31 First Second Third Fourth Quarter Quarter Quarter Quarter Total Direct labor hours needed for production Budgeted direct labor cost Begin by preparing Preston's direct materials budget Preston, Inc. Direct Materials Budget For the Year Ended December 31 First Second Third Fourth Quarter Quarter Quarter Quarter Total Budgeted kits to be produced 300 620 250 700 1,870 5 5 5 Direct materials (ounces) per kit 5 5 1,500 3,100 1.250 3,500 9,350 Direct materials needed for production Plus Desired direct materials in ending inventory 310 125 350 270 270 Total direct materials needed 1,810 3,225 1,600 3,770 9,620 Less: Direct materials in beginning inventory 930 310 125 350 930 Budgeted purchases of direct materials 880 2,915 1,475 3,420 8,690 Direct materials cost per ounce $ 1 $ $ 1 | $ 1 $ Budgeted cost of direct materials purchases $ 880 $ 2,915$ 1,475 | $ 3,420 $ 8,690 Prepare the direct labor budget. (Enter any hours as a decimal to two places, X. XX, and round all other amounts to the nearest Yhele nu Preston, Inc. manufactures model airplane kits and projects production at 300, 620, 250, and 700 kits for the next four quarters. (Click the icon to view the manufacturing information.) Prepare Preston's direct materials budget, direct labor budget, and manufacturing overhead budget for the year. Round the direct labor hours needed for production, budgeted overhead costs, and predetermined overhead allocation rate to two decimal places. Round other amounts to the nearest whole number BER Begin by pre - More info Total Direct materials are five ounces of plastic per kit and the plastic costs $1 per ounce. Indirect materials are considered insignificant and are not included in the budgeting process. Beginning Raw Materials Inventory is 930 ounces, and the company desires to end each quarter with 10% of the materials needed for the next quarter's production. Preston desires a balance of 270 ounces in Raw Materials Inventory at the end of the fourth quarter. Each kit requires 0.75 hours of direct labor at an average cost of $40 per hour. Manufacturing overhead is allocated using direct labor hours as the allocation base. Variable overhead is $0.30 per kit, and fixed overhead is $150 per quarter. Budgeted k 1,870 Direct mater 5 Direct mater 9,350 Plus: Des 270 Total direct 9,620 Less Dire Print Done 930 Budgeted pu 8,690 Direct maten $ Budgeted cost of direct materials purchases $ 880 $ 2,915 $ 1,475 $ 3.420 $ 8.690