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Solomon, Inc. is preparing budgets for the quarter ending Sep 30. Budgeted sales for the next five months are: Jun 12,000 units Jul 15,000 units

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Solomon, Inc. is preparing budgets for the quarter ending Sep 30. Budgeted sales for the next five months are: Jun 12,000 units Jul 15,000 units Aug 20,000 units Sep 25,000 units Oct 20,000 units Nov 18,000 units Dec 17,500 units The selling price is $10/ unit. The management wants ending inventory to be equal to 40% of the following 2 month's budgeted sales in UNITS. On June 30,8,000 units were on hand. Eight pounds of material are required per unit of product. Management wants materials on hand at the end of each month equal to 20% of the following month's production. On June 30, 20,000 pounds of material are on hand. Material costs 0.75$ per pound. Each unit of product requires 0.25 hours of direct labor. Wage rate is set $6 per DLH. Please prepare: a. Sales budget b. Production budget c. DM budget d. DL budget

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