Problem 22-01A - (Video) Crane Farm Supply Company manufactures and sells a pesticide Share. The following data are available for preparing budget for Snare for the first quarters of 2020. 1. Sales: quarter 1, 28,600 bags quarter 2,43,400 a Saling price is $62 per bag 2. Direct materials: each bag of Snare requires 5 pounds of Gurmat a cost of $3.50 per pound and 6 pounds of Tarrat $1.50 per pound 3. Desired Inventory levels: January 1 123 Type of Inventory Snare (bags) Gurun (pounds) Tarv (pounds) 8.400 9.400 April 1 12,300 10.500 20,400 July 1 18,300 13.500 25,100 14,300 4. Direct labor direct labor time is 15 minutes per bag at an hourly rate of $16 per hour 5. Selling and administrative expenses are expected to be 15 of sales plus 5178.000 per quarter 6. Interest expense is $100.000 7. Income taxes are expected to be of income before income taxes Your assistant has prepared two budgets: (1) the a $299,000 in quarter I and $425.500 in quarter 2 cturing overhead budget shows expected costs to be 125 o rect bor cost and the direct material budget for for shows the cost of a purchases to be (Note: Do not prepare the manufacturing overhead budget or the direct material budget for Tor)