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Required information Use the following information for the Exercises below. Ramos Co provides the following sales forecast and production budget for the next four months.

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Required information Use the following information for the Exercises below. Ramos Co provides the following sales forecast and production budget for the next four months. April May June July Sales (units) 650 730 680 750 Budgeted production (units) 590 720 690 690 The company plans for finished goods inventory of 270 units at the end of June. In addition, each finished unit requires 5 pounds of direct materials and the company wants to end each month with direct materials inventory equal to 20% of next month's production needs. Beginning direct materials inventory for April was 590 pounds. Direct materials cost $2 per pound. Each finished unit requires 0.30 hours of direct labor at the rate of $14 per hour. The company budgets variable overhead at the rate of $18 per direct labor hour and budgets fixed overhead of $9,500 per month. Exercise 20-8 Manufacturing: Direct materials budget LO P1 Prepare a direct materials budget for April, May, and June. RAMOS CO. Direct Materials Budget For April, May, and June April May 590 June Budget production (units) 720 690 units Materials needed for production (lbs.) Total materials requirements (lbs.) Materials to be purchased (lbs.) Materials price per pound Budgeted cost of direct materials purchases Exercise 20-9 Manufacturing: Direct labor and factory overhead budgets LO P1 1. Prepare a direct labor budget for April, May, and June. 2. Prepare a factory overhead budget for April, May, and June. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare a direct labor budget for April, May, and June. (Enter your direct labor hours (hrs.) per unit in two decimal places.) RAMOS CO. Direct Labor Budget For April, May, and June April May 590 720 Juno 690 units Budgeted production (units) Total labor hours needed Budgeted direct labor cost Prepare a factory overhead budget for April, May, and June. RAMOS CO. Factory Overhead Budget For April, May, and June April May June Total labor hours needed Budgeted variable overhead Budgeted fixed overhead Total budgeted factory overhead

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