Problem 21-2A (Part Level Submission) Deleon Inc. is preparing its annual budgets for the year ending December 31, 2017. Accounting assistants furnish the data shown below. Product JB 50 Product JB 60 403,200 $22 205,000 $27 26,300 31,200 16,000 13,300 Sales budget: Anticipated volume in units Unit selling price Production budget: Desired ending finished goods units Beginning finished goods units Direct materials budget: Direct materials per unit (pounds) Desired ending direct materials pounds Beginning direct materials pounds Cost per pound Direct labor budget: Direct labor time per unit Direct labor rate per hour Budgeted income statement: Total unit cost 33,300 43,500 17,900 13,100 $2 $12 $22 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 $362,000 for product JB 60, and administrative expenses of $542,000 for product JB 50 and $345,000 for product JB 60. Interest expense is $150,000 (not allocated to products). Income taxes are expected to be 30%. (a) Your answer is correct. Prepare the sales budget for the year. DELEON INC. Sales Budget For the Year Ending December 31, 2017 JB 50 JB 60 Total Expected unit sales 403200 205000 Unit selling price Total sales 8870400 5535000 14405400 Click if you would like to show Work for this question: Open Show Work Your answer is correct. 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 403200 205000 Add Desired Ending Finished Goods Units 26300 16000 Total Required Units 429500 221000 Less T Beginning Finished Goods Units T 31200 13300 IN TRequired Production Units 398300 T 207700 Click if you would like to Show Work for this question: Open Show Work LINK TO TEXT LINK TO TEXT Your answer is correct. 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 T 398300 207700 Direct Materials per Unit Total Pounds Needed for Production 796600 415400 dd Desired Ending Direct Materials 33300 17900 Total Materials Required 829900 433300 essy Beginning Direct Materials T (43500) (13100) Direct Materials Purchases 786400 1 420200 Cost per Pound TE Total Cost of Direct Materials Purchases 1572800 T. 1260600 2833400 Click if you would like to Show Work for this question: Open Show Work LINK TO TEXT LINK TO TEXT Attempts: 1 of 5 used 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 Total TTotal Required Units 398300 207700 Direct Labor Time per Unit T 0.4 0.6 Total Required Direct Labor Hours 159320 124620 Direct Labor Cost per Hour Total Direct Labor Cost 1911840 3407280 Click if you would like to Show Work for this question: Open Show Work LINK TO TEXT LINK TO TEXT Attempts: 5 of 5 used Your answer is partially correct. Try again. Prepare the budgeted multiple-step income statement for the year. (Note: income taxes are not allocated to the prod DELEON INC. Budgeted Income Statement For the Year Ending December 31, 2017 JB 50 JB 60 Total Sales 8870400 14405400 Cost of Goods Sold Gross Profit LE Operating Expenses Selling Expenses TAdministrative Expenses Total Operating Expenses Income from Operations Interest Expense Income before Income Taxes Net Income / (Loss) Click if you would like to Show Work for this question: Open Show Work