Required For the year 2024: 1. Prepare the revenues budget. (1 mark) 2. Use the revenues budget to: a) find the budgeted allocation rate for marketing costs (1.5 marks) b) find the budgeted number of deliveries and allocation rate for distributioncosts. (3.5 marks) 3. Prepare the production budget in units. (2 marks) 4. Use the production budget to: a) find the budgeted number of set-ups, set-up hours and the allocation rate forset-up costs (5 marks) b) find the budgeted total machine-hours and the allocation rate for processingcosts. (2.5 marks) 5. Prepare the direct materials usage budget and the direct materials purchasesbudget. (5 marks) 6. Use the direct materials usage budget to find the budgeted allocation rate formaterials-handling costs. (2.5 marks) 7. Prepare the direct manufacturing labour cost budget. (1.5 marks) 8. Prepare the manufacturing overhead cost budget for materials handling, set-up and processing. (1.5 marks) 9. Prepare the budgeted unit cost of finished goods (16.5 marks) and endinginventories budget. (4.5 marks) 10. Prepare the cost of goods sold budget. (3 marks) 11. Prepare the non-manufacturing overhead costs budget for marketing anddistribution. (1 mark) 12. Prepare a budgeted income statement (ignore income taxes). (3 marks) 13. Compare the budgeted unit cost of a chair to its budgeted selling price. Why mightSandham Ltd continue to sell the chairs for only 5607 (6 marks) Q.2 (Max Marks:60) Sandham Ltd operates at capacity and makes glass-topped dining tables and wooden chairs,which are then typically sold as sets of four chairs with one table. However, some customerspurchase replacement or extra chairs, and others buy some chairs or a table only, so the salesmix is not exactly 4:1. Sandham Ltd is planning its annual budget for the financial year 2024.Information for 2024 is as follows: Input prices Direct materials Wood $5.50 per board metreGlass 511.6 per sheetDirect manufacturing labour 518 per direct manufacturing labour-hour Input quantities per unit of output Chairs TablesDirect materialsWood 1.2 board metres 1.7 board metresGlass — 2 sheetsDirect manufacturinglabour 3 hours 6 hoursMachine-hours (MH]) 2 MH 5 MH Inventory information, direct materials Wood Glass Beginning inventory 27 200 board metres 8 700 sheetsTarget ending inventory 29 360 board metres 9 500 sheets