South Wonder company produce and sell bamboo frame for $25 each. Requirements of direct materials and direct labour to produce each bamboo frame are as follows: Direct material 4 linear feet of bamboo at $2 per foot Direct labour 0.5 hours at $12 per hour The following table shows the planned inventory levels of the company: March 80 April May June July August Raw material Finished goods Beginning balance Ending balance Beginning balance Ending balance 288 324 100 324 408 100 120 408 468 120 160 468 474 160 150 474 484 150 170 484 502 170 150 Expected unit sales (number of frames) for the following months: 275 250 March April May June July August 300 400 375 425 The company usually use a single application rate of $0.30 per unit produced for variable manufacturing overhead. General manager predicts that the annual fixed manufacturing overhead will be approximately $7.200 for the coming year. Expected monthly expenses of selling and administrative are estimated $650 per month plus $0.60 per unit sold. Required: Part 1. Prepare the following for South Wonder for the second quarter (April, May, and June). Include each month as well as the second quarter total for each budget. a. Sales budget. 15 marks] Click or tap here to enter text. b. Production budget. [5 marks/ Click or tap here to enter text. c. Direct materials purchases budget in units and dollar amount. (5 marks] Click or tap here to enter text. d. Direct labor budget in hours and dollar amount. [5 marks] Click or tap here to enter text e Manufacturing overhead budget. (5 marks/ Click or tap here to enter text. Part 2. Suppose that the company had $10,800 cash at bank at the beginning of the second quarter. Cash sales average 80 per cent of total sales (refer to your answer to part a). Credit sales are collected 50 per cent in the month of sale and 50 per cent in the month following sale. Prepare budgeted cash receipts. Include each month (April to June) as well as quarter 2 totals. [5 marks) Click or tap here to enter text