Sales: November, 2022 Actual Sales were

$1,500,000

and December, 2022 Actual Sales were

$2,100,000

\ Budgeted Sales for the first 5 months of 2023 are:\ January 30,000 units\ February 40,000 units\ March 50,000 units\ April 45,000 units\ May 35,000 units\ Budgeted selling price is

$(60)/()

unit\ The company wants to maintain a finished goods inventory equal to

40%

of next month's budgeted units of sales.\ All purchases of materials are made on account.

30%

of the month's purchases are paid in the month of purchase and the remaining

70%

are paid the following month.\ Each unit of production requires 2 direct labor hours. The direct labor rate per hour is

$(6)/()

hour and all labor costs are paid by the end of the month.\ Variable manufacturing overhead per direct labor hour is

$2

. The budgeted monthly fixed manufacturing overhead is

$200,000

which includes monthly depreciation of

$25,000

.The company will be acquiring some additional equipment in the first quarter of the year. They will purchase equipment for

$300,000

in cash in January.\ Dividends of

$150,000

will be paid out in March.\ repayment of the principal and interest will occur at the end of the month. Borrowings and repayments are done in increments of

$5,000

.\ REQUIRED:\ Prepare the sales budget for each month of the first quarter. \ Prepare the schedule of expected cash collections for each month of the first quarter. \ Prepare the production budget for each month of the first quarter. \ Prepare the direct materials budget for each month of the first quarter.\ Prepare the schedule of cash payments to suppliers for each month of the first quarter. \ Prepare the direct labor budget for each month of the first quarter. \ Prepare the manufacturing overhead budget for each month of the first quarter. \ Prepare the selling and administrative expense budget for each month of the first quarter. \ Prepare the cash budget for each month of the first quarter. \ Prepare the budgeted income statement for the full quarter. \ Prepare the budgeted balance sheet as of March 31 , 2023.

- Variable selling expenses per unit sold are $2/ unit. The budgeted monthly fixed selling and administrative expenses are $120,000 which includes monthly depreciation of $20,000. - The company will be acquiring some additional equipment in the first quarter of the year. They will purchase equipment for $300,000 in cash in January. - Dividends of $150,000 will be paid out in March. repayment of the principal and interest will occur at the end of the month. Borrowings and repayments are done in increments of $5,000. REQUIRED: 1. Prepare the sales budget for each month of the first quarter. (25 points) 2. Prepare the schedule of expected cash collections for each month of the first quarter. (25 points) 3. Prepare the production budget for each month of the first quarter. ( 25 points) 4. Prepare the direct materials budget for each month of the first quarter. ( 25 points) 5. Prepare the schedule of cash payments to suppliers for each month of the first quarter. (25 points) 6. Prepare the direct labor budget for each month of the first quarter. (25 points) 7. Prepare the manufacturing overhead budget for each month of the first quarter. (25 points) 8. Prepare the selling and administrative expense budget for each month of the first quarter. (25 points) 9. Prepare the cash budget for each month of the first quarter. (50 points) 10. Prepare the budgeted income statement for the full quarter. (75 points) 11. Prepare the budgeted balance sheet as of March 31, 2023. (75 points)