The Haney Batting Company manufactures wood baseball bats. Haney's two primary products are a youth bat, designed for children and young teens, and an adult bat, designed for high school and college-aged players. Haney sells the bats to sporting goods stores and all sales are on account. The youth bat sells for $25; the adult bat sells for $55. Haney's highest sales volume is in the first three months of the year as retailers prepare for the spring baseball season. Haney's balance sheet for December 31, 2018, and other data for the first quarter of 2019 follow: (Click the icon to view the other data.) (Click the icon to view the balance sheet.) Read t Data table Current Assets: Haney Batting Company Balance Sheet December 31, 2018 Assets Plus: Total b Cash Accounts Receivable Less: Raw Materials Inventory Budge Finished Goods Inventory Requi allocat Total Current Assets Property, Plant, and Equipment: Begin Equipment Less: Accumulated Depreciation Total Assets Current Liabilities: Accounts Payable Liabilities $ 35,000 26,200 4,200 13,310 78,710 budget for the first 140,000 (25,000) 115,000 $ 193,710 S 10,500 More info a. Budgeted sales are 1,300 youth bats and 2,900 adult bats. Finished Goods Inventory on December 31, 2018, consists of 550 youth bats at $13 b. each and 440 adult bats at $14 each. Desired ending Finished Goods Inventory is 300 youth bats and 450 adult bats; c. FIFO inventory costing method is used. Direct materials requirements are 52 ounces of wood per youth bat and 64 ounces d. of wood per adult bat. The cost of wood is $0.15 per ounce. Raw Materials Inventory on December 31, 2018, consists of 28,000 ounces of wood e. at $0.15 per ounce. Desired ending Raw Materials Inventory is 28,000 ounces (indirect materials are f. insignificant and not considered for budgeting purposes). g. Each bat requires 0.4 hours of direct labor; direct labor costs average $26 per hour. h. Variable manufacturing overhead is $0.60 per bat. Fixed manufacturing overhead includes $600 per quarter in depreciation and $1,776 i. per quarter for other costs, such as insurance and property taxes. j. Fixed selling and administrative expenses include $12,000 per quarter for salaries; $2,000 per quarter for rent; $1,900 per quarter for insurance; and $350 per quarter for depreciation. k. Variable selling and administrative expenses include supplies at 5% of sales. Print Done