Style Pants Company manufactures dress pants and jeans. Dress pants and jeans are assembled by a variety of sewing operations. Assume that the sales budget for dress pants and jeans shows estimated sales of 23,600 and 53,100 units, respectively, for May 2020. The finished goods inventories are assumed as follows: Dress Pants Jeans May 1 estimated inventory 670 1,660 May 31 desired inventory 420 1,860 Assume the following direct labor data per 10 pairs of dress pants or jeans for four different sewing operations: Direct labor per 10 units Dress Pants Jeans Inseam 18 minutes 9 minutes Outerseam 20 minutes 14 minutes Pockets 6 minutes 9 minutes Zipper 12 minutes 6 minutes Total 56 minutes 38 minutes

1. Prepare a production budget for May 2020. Prepare the budget in two columns: Dress Pants and Jeans.

2. Prepare the May 2020 direct labor cost budget for the four sewing operations, assuming a $13 wage per hour for inseam and outerseam sewing operations and a $15 wage rate per hour for the pocket and zipper operations. Prepare the direct labor cost budget for May 2020.

3. Assume that the selling prices for dress pants and jeans are $50 and $30, respectively. Prepare a revenues budget for May 2020 in the format of Schedule 1 - see attached.

Schedule 1: Revenue Budget for the Year Ending December 31, 2013 Units Casual Deluxe Total 50,000 10,000 Selling Price $600 800 Total Revenues $30,000,000 8,000,000 $38,000,000