Vaughn Company makes and sells artistic frames for pictures. The controller is responsible for preparing the master budget and has accumulated the following information for 2022.

		January		February		March		April		May
Estimated unit sales		11,760		13,720		12,740		10,780		10,780
Unit selling price		$60		$57.5		$57.5		$57.5		$57.5
Direct labor hours per unit		2.0		2.0		1.5		1.5		1.5
Direct labor cost per hour		$6.0		$6.0		$6.0		$7.0		$7.0

Vaughn has a labor contract that calls for a wage increase to $7.0 per hour on April 1. New labor-saving machinery has been installed and will be fully operational by March 1. Vaughn expects to begin the year with 17,248 frames on hand and has a policy of carrying an end-of-month inventory of 100% of the following months sales, plus 40% of the second following months sales.

(a)

Prepare a production budget for Vaughn Company by month and for the first quarter of the year.

VAUGHN COMPANY Production Budget choose the accounting period For the Quarter Ending March 31, 2022March 31, 2022For the Year Ending March 31, 2022
		Jan		Feb		Mar		Total
select an opening production budget item Direct Materials PurchasesTotal Required UnitsBeginning InventoryDirect Materials Per UnitRequired Production UnitsDesired Ending InventorySales in UnitsDesired Ending Direct MaterialsTotal Materials RequiredBeginning Direct Materials		enter a number of units		enter a number of units		enter a number of units		enter a number of units
select between addition and deduction AddLess: select a production budget item Required Production UnitsTotal Required UnitsDirect Materials Per UnitTotal Materials RequiredDesired Ending Direct MaterialsBeginning Direct MaterialsSales in UnitsBeginning InventoryDirect Materials PurchasesDesired Ending Inventory		enter a number of units		enter a number of units		enter a number of units		enter a number of units
select a summarizing line for the first part Beginning InventoryDesired Ending InventoryBeginning Direct MaterialsTotal Materials RequiredRequired Production UnitsDirect Materials PurchasesTotal Required UnitsDesired Ending Direct MaterialsDirect Materials Per UnitSales in Units		enter a total number of units for the first part		enter a total number of units for the first part		enter a total number of units for the first part		enter a total number of units for the first part
select between addition and deduction AddLess: select a production budget item Total Materials RequiredRequired Production UnitsSales in UnitsDirect Materials PurchasesDesired Ending InventoryTotal Required UnitsDirect Materials Per UnitBeginning InventoryDesired Ending Direct MaterialsBeginning Direct Materials		enter a number of units		enter a number of units		enter a number of units		enter a number of units
Total Required Units Beginning InventoryDirect Materials Per UnitRequired Production UnitsTotal Materials RequiredDesired Ending Direct MaterialsDesired Ending InventoryDirect Materials PurchasesTotal Required UnitsSales in UnitsBeginning Direct Materials		enter a total number of units		enter a total number of units		enter a total number of units		enter a total number of units