Trevor, Inc. manufactures model airplane kits. Direct materials are five ounces of plastic per kit and the plastic costs $1 per ounce. Indirect materials are considered insignificant and are not included in the budgeting process. Each kit requires 0.50 hours of direct labor at an average cost of $50 per hour. Manufacturing overhead is allocated using direct labor hours as the allocation base. The company has prepared the following budgets: (Click the icon to view the budgets.) Trevor projects sales of 200, 300, 500, and 650 kits for the next four quarters. Trevor has no kits in beginning inventory Determine the cost per kit to manufacture the model airplane kits. Prepare a cost of goods sold budget for the year. Round amounts to two decimal places. Determine the cost per kit to manufacture the model airplane kits. (Round your answers to two decimal places, $X.XX.) Total projected manufacturing cost per kit Trevor, Inc. Direct Materials Budget For the Year Ended December 31 First Second Third Fourth Quarter Quarter Quarter Quarter Total 350 680 600 400 5 2,030 5 5 5 5 1,750 680 3,400 600 3,000 400 2,000 250 10,150 250 Budgeted kits to be produced Direct materials (ounces) per kit Direct materials needed for production Plus: Desired direct materials in ending inventory Total direct materials needed Less: Direct materials in beginning inventory Budgeted purchases of direct materials 2,430 870 4,000 680 3,400 600 2,250 400 10,400 870 3,320 15 2,800 15 1,850 1s 9,530 1 1,560 1 $ 1,560 $ $ $ Direct materials cost per ounce 3,320 $ 2,800 5 1,850 $ 9,530 Budgeted cost of direct materials purchases 001 Trevor, Inc. Manufacturing Overhead Budget For the Year Ended December 31 First Second Third Fourth Quarter Quarter Quarter Quarter Total 680 2,030 350 0.90 S 600 0.90 $ 400 0.90 $ CA 0.90 $ 0.90 CA Budgeted kits to be produced VOH cost per kit Budgeted VOH Budgeted FOH Budgeted manufacturing overhead costs 315.00 $ 150.00 612.00 $ 150.00 540.00 $ 150.00 360.00 $ 150.00 1,827.00 600.00 465.00 S 762.00 $ 690.00 $ 510.00 $2,427.00 175.00 340.00 300.00 200.00 Direct labor hours Budgeted manufacturing overhead costs 1,015.00 5 2.427.00 5 2.39 Predetermined overhead allocation rate