Sloane, Inc., manufactures and sells snowboards. Sloane manufactures a single model, the Pipex. In the summer of 2017, Sloane's management accountant gathered the following data to prepare budgets for 2018 Materials and Labour Requirements Direct materials Wood Fiberglass Direct manufacturing labour 9 board feet (b.f.) per snowboard 10 yards per snowboard 5 hours per snowboard Sloane's CEO expects to sell 2,900 snowboards during 2018 at an estimated retail price of $650 per board. Further, the CEO expects 2018 beginning inventory of 500 snowboards and would like to end 2018 with 200 snowboards in stock. Direct Materials Inventories Beginning Inventory 1/1/2018 Wood Fiberglass Ending Inventory 12/31/2018 2,040 b.f. 1,540 b.f 1,040 yards 2,040 yards Variable manufacturing overhead is $7 per direct manufacturing labour-hour. There are also $80,600 in fixed manufacturing overhead costs budgeted for 2018. Sloane combines both variable and fixed manufacturing overhead into a single rate based on direct manufacturing labour-hours. Variable marketing costs are allocated at the rate of $250 per sales visit. The marketing plan calls for 38 sales visits during 2018. Finally, there are $35,000 in fixed nonmanufacturing costs budgeted for 2018 Other data include: Direct Materials Inventories 2017 Unit Price $32.00 per b.f 8.00 per yard 2018 Unit Price $34.00 per b.f.. $ 9.00 per yard Wood Fiberglass Direct manufacturing labour $28.00 per hour $29.00 per hour