Spring Manufacturing Company Direct Labor Budget 2022 C12 D57 Total Budgeted production Direct labor hours per unit Total direct labor hours needed 0 0 0 Hourly wage rate Budgeted direct labor costs $0 Spring Manufacturing Company Factory Overhead Budget 2022 Variable Factory Overhead: Indirect materials Miscellaneous supplies and tools Indirect labor Payroll taxes and fringe benefits Maintenance costs Heat, light, and power Total Variable Factory Overhead $0 Fixed Factory Overhead: Supervision Maintenance costs Heat, light, and power Total Cash Fixed Factory Overhead Depreciation Total Fixed Factory Overhead $0 Total Budgeted Factory Overhead $0Spring Manufacturing Company Budgeted Cost of Goods Sold and Finished Goods Ending Inventory 2022 C12 D57 Total Sales volume 0 Cost per unit (Schedules 1 and 2) Cost of Goods Sold $0 $0 $0 C12 D57 Total Ending Finished Goods Inventory Cost per unit (Schedules 1 and 2) Budgeted ending Finished Goods Inventory $0 $0 $0 Schedule 1: Cost Card--Product C12 Inputs Budget Cost Cost Element Unit Input Cost Quantity Per Unit Raw material 1 $0.00 Raw material 3 $0.00 Direct labor $0.00 Variable factory OH $0.00 Fixed factory OH $0.00 Cost Per Unit $0.00 Schedule 2: Cost Card--Product D57 Inputs Budget Cost Cost Element Unit Input Cost Quantity Per Unit Raw material 1 $0.00 Raw material 2 $0.00 Raw material 3 $0.00 Direct labor $0.00 Variable factory OH $0.00 Fixed factory OH $0.00 Cost Per Unit $0.00Solution Spring Manufacturing Company Sales Budget 2022 C12 D57 Total Sales (in units) x Price Per Unit Total Revenue $ $ $ Spring Manufacturing Company Production Budget 2022 C12 D57 Sales (in units) + Desired finished goods ending inventory Total units needed 0 0 - Beginning finished goods inventory Production unit 0 0Required Prepare the following schedules or statements for 2022: 1. Sales budget 2. Production budget 3. Direct materials purchases budget (units and dollars) 4. Direct labor budget 5. Factory overhead budget 6. Cost of goods sold and ending inventory budgets 7. Selling and administrative expense budget 8. Budgeted Income Statement, ending with After-tax Operating IncomeFactory Overhead Information Indirect materials-variable $10,000 Miscellaneous supplies and tools-variable $5,000 Indirect labor-variable $40,000 Supervision-fixed $120,000 Payroll taxes and fringe benefits-variable $250,000 Maintenance costs-fixed $20,000 Maintenance costs-variable $10,080 Depreciation-fixed $71,330 Heat, light, and power-fixed $43,420 Heat, light, and power-variable $11,000 Total $580,830 Selling and Administrative Expense Information Advertising $60,000 Sales salaries $200,000 Travel and entertainment $60,000 Depreciation-warehouse $5,000 Office salaries $60,000 Executive salaries $250,000 Supplies $4,000 Depreciation-office $6,000 Total $645,000 Income Tax Rate 40%Spring Manufacturing Company Raw Materials Purchase Budget 2022 Raw Material 1 C12 D57 Total Production unit Pounds per unit RM1 needed in production (pounds) 0 0 0 Desired ending inventory Total needed (pounds) 0 Beginning inventory Total RM1 to purchase (pounds) 0 Cost per pound Budgeted purchase cost of RM1 Raw Material 2 C12 D57 Total Production unit Pounds per unit RM2 needed in production (pounds) 0 0 0 Desired ending inventory Total RM2 needed (pounds) 0 Beginning inventory Pounds of RM2 to purchase 0 Cost per pound Budgeted purchase cost of RM2 $0 Raw Material 3 C12 D57 Total Production unit Pounds per unit RM3 needed in production (pounds) 0 0 0 Desired ending inventory Total units of RM3 needed 0 Beginning inventory Units of RM3 to purchase O Cost per pound Budgeted purchase cost of RM3 $0Spring Manufacturing Company makes two components identified as C12 and D57. Selected budgetary data for 2022 follow: Data Finished Components M Requirements for each finished component: ' RM1 10 pounds 8 pounds RM2 0 4 pounds RM3 2 pounds 1 pound Direct labor 2 hours 3 hours 'Product information: Sales price $150 $220 Sales units 12,000 9,000 Estimated beginning inventory (units) 400 150 Desired ending inventory (units) 300 200 Direct Materials Information M M M Cost per pound $2.00 $2.50 $0.50 Estimated beginning inventory in pounds 3,000 1,500 1,000 Desired ending inventory in pounds 4,000 1,000 1,500 :The firm expects the average wage rate to be $25 per hour in 2022. Spring Manufacturing uses DLHs to apply overhead. Each year the firm determines the overhead application rate for the year based on the budgeted ouput for the year. The company maintains negligible WIP inventory and expects the cost per unit for both beginning and ending finished products inventories to be identical. Spring Manufacturing Company Selling and Administrative Expense Budget 2022 Selling Expenses: Advertising Sales salaries Travel and entertainment Depreciation Total selling expenses $0 Administrative expenses: Offices salaries Executive salaries Supplies Depreciation Total administrative expenses $0 Total Selling and Administrative Expenses $0 Spring Manufacturing Company Budgeted Income Statement For the Year 2022 C12 D57 Total Sales $0 Cost of Goods Sold $0 Gross profit $0 $0 $0 Selling and Administrative Expenses Pretax Operating Income $0 Income taxes (40%) After-tax Operating Income $0