Snowbird Inc. (Snowbird) manufactures and sells one model of sleds. Snowbird's accountant gathered the following information to prepare the budget for 2020:

1st quarter, 2nd quarter, 3rd quarter, 4th quarter

Projected sales 2,000 units, 1,800 units , 1,000 units, 3,500 units

Snowbird has a policy of maintaining finished goods inventory at the end of each quarter equal to 5% of the following quarter's projected sales. There were 150 sleds in finished goods inventory at the start of 2020, with a total cost of $45,000. Materials and labour requirements for the sleds are:

Direct materials Four board-metres per sled

Direct labour hours Three hours per sled

Machine hours Two hours per sled

Direct materials inventory on the first day of 2020 was 1,000 board-metres. Direct materials were originally purchased at $33 per board-metre. Prices have now risen to $34 per board-metre. The desired ending materials inventory is 10% of the following quarter's projected production needs. Snowbird's direct labourers are paid $16 per hour. Variable manufacturing overhead is allocated at the rate of $15 per direct labour hour. Fixed manufacturing overhead costs are budgeted at $186,240 for 2020. Snowbird uses first-in, first-out to account for its inventory flow.

Prepare the following budgets and schedules as part of the master budget for the first quarter of 2020:

Production budget

Direct materials purchase budget

Direct labour budget

Manufacturing overhead budget

Ending finished goods inventory budget