Requirements Prepare the sales budget, including a separate section that details the type of sales made (cash versus credit) for the first three months of the year, as well as a summary budget for the quarter. 2 Prepare the production budget for the first three months of the year, as well as a summary budget for the quarter. a. Enter all amounts as positive values. Do NOT use parentheses or a minus sign for amounts to be subtracted Prepare the direct materials purchases budget for the first three months of the year, as well as a summary budget for the quarter. Assume the company needs 120,000 board feet of wood for production in April. a. Enter all amounts as positive values. Do NOT use parentheses or a minus sign for amounts to be b. Abbreviation used: DM Direct materials subtracted 4 Prepare the cash collections budget for January, February, and March, as well as a summary for the first quarter. 5 Prepare the cash payments budget for direct materials purchases for the months of January, February, and March, as well as a summary for the first quarter. Units October actual sales (prior year) November actual sales (prior year) December actual sales (prior year) January projected sales February projected sales March projected sales April proiected sales 92,000 85,000 78,000 80,000 90,000 95,000 105,000 20% of the total sales are cash sales 80% of the total sales are credit sales The company's collection history indicates that: 80% of credit sales is collected in the month after the sale 10% is collected two months after the sale 6% is collected three months after the sale 4% is never collected 1. Prepare the sales budget, including a separate section that details the type of sales made (cash versus credit) for the first three months of the year, as well as a summary budget for the quarter. (Always use cell references and formulas where appropriate to receive full credit. If you copy/paste from the Instruction tab you will be marked wrong.) Birdfeeders Unlimited Sales Budget For the Quarter Ended March 31 Month Januar Februar March 1st Quarter Unit sales (birdfeeders Multiply by: Selling price per birdfeeder Total sales revenue Type of sale Cash sales Credit sales Total sales revenue 2. Prepare the production budget for the first three months of the year, as well as a summary budget for the quarter. (Always use cell references and formulas where appropriate to receive full credit. Use cell references from requirement 1 and prior calculations, if applicable. If you copy/paste from the Instruction tab you will be marked wrong.) Birdfeeders Unlimited Production Budget For the Quarter Ended March 31 Month Januar Februar March 1st Quarter Unit sales (birdfeeders Plus: Desired ending inventory Total needed Less: Beginning inventory Number of units to produce 3. Prepare the direct materials purchases budget for the first three months of the year, as well as a summary budget for the quarter. Assume the company needs 120,000 board feet of wood for production in April. (Always use cell references and formulas where appropriate to receive full credit. Use cell references from prior requirements and calculations, if applicable. If you copy/paste from the Instruction tab you will be marked wrong.) Birdfeeders Unlimited Direct Materials Budget For the Quarter Ended March 31 Month Januar Februa March 1st Quarter Units (birdfeeders) to be produced Multiply by: Quantity (board feet) of DM needed per unit Quantity (board feet) needed for production Plus: Desired ending inventory of DM Total quantity (board feet) needed Less: Beginning inventory of DM Quantity (board feet) to purchase Multiply by: Cost per board foot Total cost of DM purchases 4. Prepare the cash collections budget for January, February, and March, as well as a summary for the first quarter. (Always use cell references and formulas where appropriate to receive full credit. Use cell references from previous calculations and requirements, if applicable. If you copy/paste from the Instruction tab you will be marked wrong.) Birdfeeders Unlimited Cash Collections Budget For the Quarter Ended March 31 Month Januar Februa March 1st Quarter Cash sales in current month Collection on credit sales: Credit sales made one month ago Credit sales made two months ago Credit sales made three months ago Total cash collections 5. Prepare the cash payments budget for direct materials purchases for the months of January, February, and March, as well as a summary for the first quarter. (Always use cell references and formulas where appropriate to receive full credit. Use cell references from previous calculations and requirements, if applicable. If you copy/paste from the Instruction tab you will be marked wrong.) Birdfeeders Unlim ted Cash Payments for Direct Materials Purchases For the Quarter Ended March 31 Month January- -FebruaryMarch 1stQuarter Total cost of DM purchases Cash payments for current month purchases Cash payments for prior month purchases Total cash payments Birdfeeders Unlimited makes backyard birdfeeders. The company sells the birdfeeders to home improvement stores $15 Sales price per birdfeeder 1.5 Board feet of wood required for each birdfeeder $4 Cost per board foot (actual) 10% Desired ending wood inventory stated as a percentage of next month's production requirements 20% Desired ending finished goods inventory (finished birdfeeders) stated as a percentage of next month's sales $550,000 Total cost of direct materials purchases in December 45% of direct materials purchases are paid in the month of purchase 55% of direct materials purchases are paid in the month after purchase