Styles ACC 522: MANAGERIAL ACCOUNTING DETAILS OF GROUP PROJECT This group project requires the use of EXCEL spreadsheets to prepare various budgets for a manufacturing company. For this purpose the class is asked to form groups of 2-4 students and allocate the task among them equitably. It is important that all participants contribute to the effort and share the overall task. All the facts and figures about the company's operations are supplied below: Sprinkler Corporation produces plastic garden sprinklers. The company is preparing its budget for 2022. The first step is to plan for the first quarter of that coming year. Sprinkler has collected the following information from the managers. 1. Sales: Sales for November 2021 112,500 units Sales for December 2021 102,100 units Expected sales for January 2022 113,000 units Expected sales for February 2022 112,500 units Expected sales for March 2022 116,000 units Expected sales for April 2022 Expected sales for May 2022 125,000 units 137,500 units Selling price per unit $12 Sprinkler likes to keep 100% of next month's unit sales in ending inventory. All sales are on credit. 85% of the accounts receivable are collected in the month of sale and 15% of the accounts receivable are collected in the month after sale. Accounts receivable on December 31, 2021, totaled $183,780. 2. Direct Materials: 2 pounds of direct materials is needed to produce one unit. Sprinkler likes to keep 5% of the materials needed for the next month's production in its ending inventory. Raw materials on hand on December 31, 2021, totaled 11,295 pounds. Payment for materials is made within 15 days. 50% is paid in the month of purchase, and 50% is paid after the month of purchase. Accounts payable on December 31, 2021, totaled $120,595. Direct materials cost is $1.13 per pound.