The Saale Corporation manufactures and sells two products: Thingone and Thingtwo. In July 2016, Saale's budget department gathered the following data to prepare budgets for 2017: (Click the icon to view the budget data.) (Click the icon to view the actual and projected direct materials data.) (Click the icon to view the projected direct manufacturing labor data.) Manufacturing overhead is allocated at the rate of $19 per direct manufacturing labor-hour. Read the requirements. Requirement 1. Prepare the revenues budget (in dollars). Revenues Budget For the Year Ending December 31, 2017 Thingone Thingtwo Budgeted revenues Units Price Total Actual and Projected Direct Materials Data - Requirements The following direct materials are used in the two products: Amount Used per Unit 1. Direct Material Unit Thingone Thingtwo 2. A pound 6 7 3. B pound 4 5 Based on the preceding projections and budget requirements for Thingone and Thingtwo, prepare the following budgets for 2017: Revenues budget (in dollars) What questions might the CEO ask the marketing manager when reviewing the revenues budget? Explain briefly. Production budget (in units) 4. Direct material purchases budget (in quantities) C each 0 3 5. Direct material purchases budget (in dollars) Projected data for 2017 for direct materials are: 6. Direct manufacturing labor budget (in dollars) 7. Anticipated Expected Budgeted finished-goods inventory at December 31, 2017 (in dollars) Direct Purchase Inventories Target Inventories 8. Material Price January 1, 2017 December 31, 2017 9. What questions might the CEO ask the production manager when reviewing the production, direct materials, and direct manufacturing labor budgets? How does preparing a budget help Saale Corporation's top management better manage the company? A B C $ 15 36,000 lb. 39,000 lb. 8 31,000 lb. 35,000 lb. 7 10,000 units 12,000 units Budget Data Projected Direct Manufacturing Labor Data Projected direct manufacturing labor requirements and rates for 2017 are: Product Thingone Hours per Unit Rate per Hour 4 $ 15 Thingtwo 5 $ 18 Print Done 2017 Projected Sales Product Units Price Thingone Thingtwo 63,000 44,000 $ 164 $ 256 2017 Inventories in Units Expected Target Product Thingone Thingtwo January 1, 2017 December 31, 2017 25,000 30,000 13,000 14,000 Print Done