Required information The following information applies to the questions displayed below] Endiess Mountain Company manufactures a single product that is popular with outdoor recreation enthusiasts. The company sells its product to retailers throughout the northeastern quadrant of the United States. It is in the process of creating a master budget for 2022 and reports a balance sheet at December 31,2021 as follows: The company's chief fnancial officer (CFO), in consultation with various managers across the organization has developed the following set of assumptions to help create the 2022 budget: 1. The budgeted unit sales are 12,000 units, 37,000 units, 15,000 units, and 25,000 units for quarters 14, respectively. Notice that the company experiences peak sales in the second and fourth quarters. The budgeted seling price for the year is $32 per unit. The budgeted unit sales for the first quarter of 2023 is 13,000 units. 2. All sales are on credit. Uncollectible accounts are negligible and can be ignored Seventy-five percent of all credit sales are collected in the quarter of the sale and 25% are collected in the subsequent quarter. 3. Each quarter's ending finished goods inventory should equal 15% of the next quarter's unit sales. 4. Each unit of finished goods requires 3.5 yards of raw material that costs $3.00 per yard. Each quarter's ending raw 1. The budgeted unit sales are 12,000 units, 37,000 units, 15,000 units, and 25,000 units for quarters 1.4 , respectively. Nosice that the company experiences peak sales in the second and fourth quarters The budgoted selling price for the yest ts $32 peraint The badoeted unit safes for the first quarter of 2023 is 13,000 units 2. All sales are on credit. Uncollectible accounts are negligble and can be ignored. Seventy- twe percen of ali credit sales: are collected in the quarter of the sale ond 25% are collected in the subsequent quarter. 3. Each quarter's ending finishod goods inventory shouid equal 15s of the next quanter's unit seles. 4 Each unit of finished goods requenes 3.5 yards of row matoriat that costs $300 per yard Each quarter's ending raw maserisls inventory should equal 10% of the next quarter's production needs: The estimated onding faw materials inventory on December 31,2022 is 5,000 yards 5. Seventy percent of each quarter's purchases are paid for in the quarter of purchase. The remaining 30% of each quarter's purchsses afe pold in the follewing quartet. 6. Direct laborers are paid $18 an hour and each unit of finished goods requires 025 direct labor thours to complete Alt direct labor costs ore paid in the quarter incurted. 7. The budgeted variable manufacturing overhead per cirect labor-hour is $3.00. The quarterly foxed manufacturing orefhead is $150,000 inelusing $20,000 of depreciation on equipment. The number of direct laborthours is used as the allocation base for the budpeted plantwide overthead rate. Al overhesd cosas (excluding depreclation) are pald in the quarter incurred. 8. The budgeted vaciable seling and administrative expense is $1.25 per unit sold. The fued seling and administrative expenset per quarter include advertising ($2.5,000), executive salaries ($64,000), insurance ($12,000), property tax. (\$8,000) and depreciation expense (\$8,000). All selang and administrative expenset (excluding depreciation) are paid in the quarter incurred 9. The compary plans to mahtain a minimum cash balance at the end of each quarter of $30,000 Assume that any borfowings take place en the first day ot the cuarter To the exteat possible, the company wall repay principal and interest on any borrowngs on the last doy of the fourth quarter. The company/s iender imposes a simple interest rate of 3% per quarter on any borowings. 10. Dividends of $15.000 will be declared and poid in each quarter. 11: The comparty user a tast-in, first-out (fIFO) imventory flow assumption. This means that the most recently purchased raw materials are the "first-out" to production and the most recently completed tinished goods are sthe "first-out" to customers Required: The companys CFO hap asked you to prepare the 2022 master budget To fuifill this request, prepare the following budget schedules and finstetal statements. 1. Quarterly asles budget including a schedule of expected cash collectoris 2. Cuarterly production budget 4. Quateily diect labor budent. 5 Quarterfy manufacturing overhead budget Required: The company's CFO has asked you to prepore the 2022 master budget. To fulfil this request, prepare the following budget schedules and finencial statements: 1. Quarterly sales budget including a schedule of expected cash collections 2. Quarterly production budget. 3. Quarterly direct materials budget induding a schedule of expected cash disbursements for purchases of materials 4. Quarterly direct labor budget: 5. Quarterly manufacturing overhead budget. 6. Ending finished goods inventory budget ot December 31, 2022 7 Quarterly selling end administrative expense budget. 8 Quarterly cash budget. 9. Income statement for the year ended December 31, 2022 10. Balance sheet at December 31, 2022 Complete this question by entering your answers in the tabs below. Prepare Budgeted Income statement for the year ended December 31, 2022. (Do not round your intermediate calculations. Round final answers to the nearest whole dollar value.)