preparing its annual budgets for the year ending December 31, 2017. Accounting assistants furnish the data shown below.

		Product JB 50		Product JB 60
Sales budget:
Anticipated volume in units		402,300		201,600
Unit selling price		$23		$28
Production budget:
Desired ending finished goods units		27,300		19,500
Beginning finished goods units		31,300		11,800
Direct materials budget:
Direct materials per unit (pounds)		2		2
Desired ending direct materials pounds		32,700		19,500
Beginning direct materials pounds		41,500		12,400
Cost per pound		$3		$3
Direct labor budget:
Direct labor time per unit		0.4		0.6
Direct labor rate per hour		$11		$11
Budgeted income statement:
Total unit cost		$14		$21

An accounting assistant has prepared the detailed manufacturing overhead budget and the selling and administrative expense budget. The latter shows selling expenses of $662,000 for product JB 50 and $364,000 for product JB 60, and administrative expenses of $544,000 for product JB 50 and $342,000 for product JB 60. Interest expense is $150,000 (not allocated to products). Income taxes are expected to be 30%

Your answer is partially correct. Try again. Prepare the sales budget for the year. DELEON INC. Sales Budget For the Year Ending December 31, 2017 JB 50 JB 60 Expected unit sales Total Unit selling price Total sales Your answer is partially correct. Try again. Prepare the production budget for the year. DELEON INC. Production Budget For the Year Ending December 31, 2017 JB 50 JB 60 Expected Unit Sales Add Desired Ending Finished Goods Units Total Required Units Less Beginning Finished Goods Units Required Production Units your answer is partally correct. Try again. Prepare the direct materials budget for the year. DELEON INC. Direct Materials Budget For the Year Ending December 31, 2017 JB 50 JB 60 Total Units to be produced X Direct Materials per Unit . Total Pounds Needed for Production N Add Desired Ending Direct Materials . Total Materials Required x x Less Beginning Direct Materials Direct Materials Purchases Cost per Pound X sil Total Cost of Direct Materials Purchases + Your answer is partially correct. Try again. Prepare the direct labor budget for the year. (Round Direct labor time per unit answers to 1 decimal place, e.g. 52.7.) DELEON INC. Direct Labor Budget For the Year Ending December 31, 2017 + JB 50 JB 60 X x Units to be produced Total X Direct Labor Time per Unit X X Total Required Direct Labor Hours + Direct Labor Cost per Hour Total Direct Labor Cost DELEON INC. Budgeted Income Statement For the Year Ending December 31, 2017 JB 50 JB 60 Total X Sales x Cost of Goods Sold Gross Profit DICO Selling Expenses Administrative Expenses Total Operating Expenses Income before Income Taxes 9 Income Tax Expense Net Income / (Loss) Show transcribed image text