Problem 10-50 Comprehensive Profit Plan [LO 10-4] Spring Manufacturing Company makes two components identified as C12 and D57. Selected budgetary data for 2019 follow: Finished Components D57 C12 Requirements for each finished component: 10 pounds 8 pounds RM 1 0 4 pounds 1 pound 3 hours RM 2 RM 3 2 pounds Direct labor 2 hours Product information: Sales price Sales (units) Estimated beginning inventory (units) Desired ending inventory (units) 190 230 12,000 9,000 110 410 200 300 Direct Materials Information RM3 s 0.50 RM1 RM2 Cost per pound Estimated beginning inventory in pounds Desired ending inventory in pounds $3.50 4 3,300 1,600 1,200 1,200 4,300 1,900 The firm expects the average wage rate to be $25 per hour in 2019. Spring Manufacturing uses direct labor hours to apply overhead. Each year the firm determines the overhead application rate for the year based on budgeted direct labor hours for the year. The firm maintains negligible Work-in-Process Inventory and expects the cost per unit for both beginning and ending inventories of finished products to be identical. Factory Overhead Information Indirect materials-variable 14,000 5,500 45,000 90,000 200,000 Miscellaneous supplies and tools-variable Indirect labor-variable Supervision-fixed Payroll taxes and fringe benefits-variable Maintenance costs-fixed 18,000 10,100 Maintenance costs-variable Depreciation-fixed Heat, light, and power-fixed Heat, light, and power-variable 71,340 43,470 13,000 510,410 Total Selling and Administrative pense Information Advertising Sales salaries 63,000 210,000 55,000 Travel and entertainment Depreciation-warehous e Office salaries 5,100 65,000 290,000 Executive salaries Supplies Depreciation-office 4,400 6,200 $698,700 Total The effective income tax rate for the company is 50% Required: 1. Prepare the Sales budget for 2019. 2. Prepare the Production budget for 2019. 3. Prepare the Direct materials purchases budget (units and dollars) for 2019. 4. Prepare the Direct labor budget for 2019. 5. Prepare the Factory overhead budget for 2019. 6. Prepare the Cost of goods sold and ending finished goods inventory budgets for 2019. 7. Prepare the Selling and administrative expense budget, broken down into two components: Selling Expenses, and Administrative Expenses for 2019. 8. Prepare the Budgeted income statement, the last item of which is labeled After-tax Operating Income for 2019 Complete this question by entering your answers in the tabs below. Required 1 Required 3 Required 5 Required 6 Required 8 Required 2 Required 4 Required 7 Prepare the Sales budget for 2019 SPRING MANUFACTURING COMPANY Sales Budget For the Year 2019 D57 Total C12 Sales (in units) Selling price per unit 0$ 0$ 0 Total sales revenue Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Required 5 Required 6 Required 7 Required 8 Prepare the Production budget for 2019 SPRING MANUFACTURING COMPANY Production Budget For the Year 2019 C12 D57 Budgeted sales (in units) Total units needed 0 Budgeted production (in units) 0 0