QUESTION 3 Sales in units Sales price per unit Desired ending finished goods inventory Beginning finished goods inventory Material required per unit pounds Desired ending inventory Beginning inventory Cost of Material per unit Direct labour hours per unit Direct labour rate per hour Indirect materials Indirect labor Other Salaries Rent Depreciation Quarter 1 40,000 RM6 4800 4000 2 10800 16320 RM1.10 0.1 RM13 RM0.20 per unit RM0.15 per unit RM0.35 per unit RM28,000 RM22,000 RM16,165 Using above information prepare following budget: a) Production budget b) Direct material Budget c) Direct labor budget Quarter 2 48,000 Quarter 3 0.1 RM13 60,000 6000 4800 2 13040 Inventory at end of previous quarter 5200 6000 2 11280 Quarter 4 52,000 0.1 RM13 4400 5200 2 12000 0.1 RM13 (Total 20 marks)