The marketing department of Jessi Corporation has submitted the following sales forecast for the upcoming fuck EXERCISE 7-2 Preparing Sales and Production Budgets [LO2- CC5, 6] year: Ist Quarter 2nd Quarter 3rd Quarter 4th Quarter Budgeted sales (units) 8,000 10,000 12,000 11,000 quarta The selling price of the company's product is $20 per unit. Management expects to collect 65% of sales in the in which the sales are made and 30% in the following quarter; 5% of sales are expected to be uncollectible. The beginning balance of accounts receivable, all of which are expected to be collected in the first quarter, is $80,500 The company expects to start the first quarter with 2,000 units in finished goods inventory. Management desires an ending finished goods inventory in each quarter equal to 15% of the next quarter's budgeted sales. The desired ending finished goods inventory for the fourth quarter is 2,250 units. labore Required: 1. Prepare the company's sales budget and schedule of expected cash collections. 2. Prepare the company's production budget for the upcoming fiscal year. EXERCISE 11-7 Preparing Flexible Budgets [LO2 - CC12] ToasToe Inc. (TI) is a manufacturer of heating elements for toaster overs. To improve control over operations, the president wants to install a flexible budgeting system, rather than the single master budget being used at present. The following data are available for expected costs for production. The relevant range of production levels for fixed overhrad costs is 75,000 to 170,000 units: Variable costs: Manufacturing $6/unit Administrative $3/unit Selling $1/unit Fixed costs: Manufacturing $100,000 Administrative $ 80,000 Required: Prepare a flexible budget for each of the three sales levels of: 90,000, 100,000, and 110,000 units. Each heating element is expected to sell for $12