Q2 The following information relating to third and last quarter of 2018-19 is furnished by a company which manufactures and sells a single product: Third Quarter (Actual) Last Quarter (Estimate) Sales 6,24,000 6,60,000 Inventory of raw material Closing Balance Target Closing Balance and finished goods Raw Material A (kgs) 23,500 25,000 Raw Material B (kgs) 13,400 15,000 Finished Goods (units) 700 1,000 Unit Cost data: Raw Material A- - 10 kgs@6 Raw Material B-- -5 kgs @ 4 Direct Labour: Machine Shop-> Machine time: 5 hours @*8 Assembly-> Labour time: 2 hours @10 Production Overheads: Machine Shop-> 24 per machine hour Assembly->20 per labour hour Selling and Administration overheads- 20% of production cost Profit Margin- 10% of selling price Production and sales occur evenly during the budget period. Required: (i) to calculate the selling price of the product and the number of units estimated to be sold (ii) to prepare for the last quarter of the year: (a) Production Budget in units (b) Material Purchase Budget (Quantity and Value) (c) Production Cost Budget