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References Mailings Review View Help Question 4 (15 marks) Suppose you are a new accountant at Flying Kites. The previous accounting staff has always prepared

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References Mailings Review View Help Question 4 (15 marks) Suppose you are a new accountant at Flying Kites. The previous accounting staff has always prepared a budget that is calculated using only one estimated volume of sales. You are required to set up a spreadsheet for sensitivity analysis in the budgeting process. This year it appears that the enity may not meet expectations, which could result in a loss. You manager is concerned that the entity will incur a loss again next year, and wants to develop a budget that will easily reflect changes in the assumptions. The senior accountant provided you with the following data about next year's planned operations: Direct labour requirement and rate: Assembly Hours per kite 0.5 Rate per hour $30.00 Use of direct materials in Sper kite: Nylon $10.00 Packaging 0.1 $20.00 Ribs $5.00 String $2.00 Direct materials inventory (in S): Expected inventories, 1 January Nylon $6,000 Ribs $3,300 Desired inventories, 31 December $6,500 $3,500 Strings $1,000 $1,200 Finished goods inventory (in units): Expected inventories, 1 January Desired inventories, 31 December D Foc D hp Finished goods inventory (in units): Expected inventories, 1 January Desired inventories, 31 December 3000 3200 Units Sales forecast: Selling price: Volume of annual sales in units): $75 90000 Required: 1. Prepare a sales budget (in dollars) [2 marks/ Click or tap here to enter text. 2. Prepare a production budget (in units) [2 marks] Click or tap here to enter text. 3. Prepare a direct material purchases budget (in dollars) [4 marks] Click or tap here to enter text. 4. Prepare a direct labour budget (in dollars) (2 marks] Click or tap here to enter text: The company's manager budget cash flows on a monthly basis so that they can pla short-term investments and borrowings Kite leesra hi haut during the nine and immer Sales frichem within each staralne ustralia ORI

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