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Product JB 50 Product JB 60 Sales budget: Anticipated volume in units 352,000 176,000 $30 $35 Unit selling price Production budget: Desired ending finished goods

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Product JB 50 Product JB 60 Sales budget: Anticipated volume in units 352,000 176,000 $30 $35 Unit selling price Production budget: Desired ending finished goods units 26,400 13,200 Beginning finished goods units 22,000 8,800 2 3 26,400 8,800 35,200 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 13,200 $3 $4 0.91 0.6 $12 $12 Budgeted income statement: Total unit cost $13 $20 An accounting assistant has prepared the detailed manufacturing overhead budget and the selling and administrative expense budget The latter shows selling expenses of $492,800 for product JB 50 and $316,800 for product JB 60, and administrative expenses of $475,200 for product JB 50 and $299,200 for product JB 60. Interest expense is $150,000 (not allocated to products). Income taxes are expected to be 20% Prepare the sales budget for the year. SHERIDAN INC. Sales Budget For the Year Ending December 31, 2022 JB 50 JB 60 Total Expected Unit Sales Unit Selling Price $ $ Total Sales $ $ Prepare the production budget for the year. SHERIDAN INC. Production Budget JB 50 JB 60 Expected Unit Sales Add Desired Ending Finished Goods Units Total Required Units Less Beginning Finished Goods Units Total Pounds Needed for Production SHERIDAN INC. Direct Materials Budget For the Year Ending December 31, 2022 JB 50 JB 60 Units to be Produced Direct Materials per Unit Total Pounds Needed for Production Add: Desired Ending Finished Goods Units Total Materials Required Less: Beginning Direct Materials (Pounds) Direct Materials Purchases Cost per Pound Total cost of Direct Materials Purchases $ SHERIDAN INC. Direct Labor Budget For the Year Ending December 31, 2022 JB 50 JB 60 Tota Units to be produced Direct Labor Time (Hours) per Unit Total Required Direct Labor Hours Direct Labor Cost per Hour $ $ $ Total Direct Labor Cost $ $ $ SHERIDAN INC. Budgeted Income Statement For the Year Ending December 31, 2022 JB 50 JB 60 Total Sales $ $ Cost of Goods Sold Gross Profit Operating Expenses Selling Expenses Administrative Expenses Total Operating Expenses Income from Operations $ $ Interest Expense Income before Income Taxes

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