Sales forecast January - April 2017

Details	T-Squares	Dividers
Expected selling price per unit	$300	$500
Sales Volume forecast:
January	2 000 units	1 000 units
February	2 500 units	1 500units
March	3 000 units	1 000 units
April	2 000 units	1 200 units

Additional information:

(i)Beginning inventories: T-squares 300 units; Dividers 200 units.

(ii)The ending inventory for each product at the end of each month is to be maintained at 20% of the budgeted sales for the next month.

(iii)At the start of January 2017 there are 700 T-squares and 300 dividers on hand.

(iv)To make one T-square, four (4) units of raw material lumber are used, while five (5) units of raw material aluminium are used to make one divider.

Required:

(a)The Sales Budget for both products for January to March 2017.

(b)The Production Budgets for both products for January to March 2017.

(c) The Direct material usage budget.