Sales budget: Product JB 50 Product JB 60 Anticipated volume in units 404,400 201,000 Unit selling price $22 $27 Production budget: Desired ending finished goods units 28.800 17,600 Beginning finished goods units 34,100 13,100 Direct materials budget: Direct materials per unit (pounds) 1 2 Desired ending direct materials pounds 34,600 16,400 Beginning direct materials pounds 41,100 13,000 Cost per pound $2 $4 Direct labor budget: Direct labor time per unit 0.3 0.6 Direct labor rate per hour $10 $10 Budgeted income statement: Total unit cost $13 $22 An accounting assistant has prepared the detailed manufacturing overhead budget and the selling and administrative expense budget. The latter shows selling expenses of $662,000 for product JB 50 and $365,000 for product JB 60, and administrative expenses of $545,000 for product JB 50 and $345,000 for product JB 60. Interest expense is $150,000 (not allocated to products). Income taxes are expected to be 30%. Sales Cost of Goods Sold Gross Profit Operating Expenses Selling Expenses Administrative Expenses Total Operating Expenses Operating Expenses Interest Expense Income before Income Taxes Income Tax Expense Net Income/(Loss) For the Year Ending December 31, 2017 JB 50 JB 60 Total $ $ $ $