The Puckett Batting Company manufactures wood baseball bats. Puckett'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. Puckett sells the bats to sporting goods stores and all sales are on account. The youth bat sells for $55; the adult bat sells for $65. Puckett's highest sales volume is in the first three months of the year as retailers prepare for the spring baseball season. Puckett's balance sheet for December 31, 2018, and other data for the first quarter of 2019 follow: (Click the icon to view the balance sheet.) (Click the icon to view the other data.) Read the requirements. i Data Table - Puckett Batting Company Balance Sheet December 31, 2018 Assets Current Assets: Cash 45,000 Accounts Receivable Raw Materials Inventory 22,800 4,200 16,240 Finished Goods Inventory Total Current Assets $ 88,240 Property, Plant, and Equipment: Equipment 145,000 (10,000) Less: Accumulated Depreciation 135,000 $ 223,240 Total Assets Liabilities Current Liabilities: Accounts Payable $ 16,500 Stockholders' Equity Common Stock, no par $ 70,000 136,740 Retained Earnings Total Stockholders' Equity 206,740 223,240 Total Liabilities and Stockholders' Equity i X More Info 1 a. Budgeted sales are 1,800 youth bats and 2,800 adult bats. b. Finished Goods Inventory on December 31, 2018, consists of 400 youth bats at $19 each and 720 adult bats at $12 each. c. Desired ending Finished Goods Inventory is 450 youth bats and 240 adult bats; FIFO inventory costing method is used. d. Direct materials requirements are 46 ounces of wood per youth bat and 54 ounces of wood per adult bat. The cost of wood is $0.20 per ounce. e. Raw Materials Inventory on December 31, 2018, consists of 21,000 ounces of wood at $0.20 per ounce. f. Desired ending Raw Materials Inventory is 21,000 ounces (indirect materials are insignificant and not considered for budgeting purposes). g. Each bat requires 0.5 hours of direct labor; direct labor costs average $15 per hour. h. Variable manufacturing overhead is $0.70 per bat. i. Fixed manufacturing overhead includes $500 per quarter in depreciation and $7,006 per quarter for other costs, such as insurance and property taxes. j. Fixed selling and administrative expenses include $11,000 per quarter for salaries; $5,000 per quarter for rent; $1,300 per quarter for insurance; and $150 per quarter for depreciation. k. Variable selling and administrative expenses include supplies at 3% of sales. i Requirements 1. Prepare Puckett's sales budget for the first quarter of 2019. 2. Prepare Puckett's production budget for the first quarter of 2019. 3. Prepare Puckett's direct materials budget, direct labor budget, and manufacturing overhead budget for the first quarter of 2019. Round the predetermined overhead allocation rate to two decimal places. The overhead allocation base is direct labor hours. 4. Prepare Puckett's cost of goods sold budget for the first quarter of 2019. 5. Prepare Puckett's selling and administrative expense budget for the first quarter of 2019. Print Done