Vista Electronics, Inc., manufactures two different types of coils used in electric motors. In the fall of the current year, Erica Becker, the controller, compiled the following data.

Sales forecast for $20$x$0($all units to be shipped in $20$x$0)$:

Product Units Price

Light coil $66,000$ $ $360$

Heavy coil $46,000460$

Raw$-$material prices and inventory levels:

Raw Material Expected Inventories,

January $1,20$x$0$ Desired Inventories,

December $31,20$x$0$ Anticipated

Purchase Price

Sheet metal $44,000$ lb$.48,000$ lb$.$ $ $16$

Copper wire $41,000$ lb$.44,000$ lb$.10$

Platform $6,600$ units $7,600$ units $6$

Use of raw material:

Amount Used per Unit

Raw Material Light Coil Heavy Coil

Sheet metal $3$ lb$.4$ lb$.$

Copper wire $1$ lb$.2$ lb$.$

Platform $2$ unit

Direct$-$labor requirements and rates:

Product Hours per Unit Rate per Hour

Light coil $3$ $ $15$

Heavy coil $520$

Finished$-$goods inventories $($in units$)$:

Product Expected

January $1,20$x$0$ Desired

December $31,20$x$0$

Light coil $31,00036,000$

Heavy coil $9,50010,500$

Production overhead:

Overhead Cost Item Activity$-$Based Budget Rate

Purchasing and material handling $ $0\mathrm{.}40$ per pound of sheet metal and copper wire purchased

Depreciation, utilities, and inspection $ $9\mathrm{.}00$ per coil produced $($either type$)$

Shipping $ $1\mathrm{.}00$ per coil shipped $($either type$)$

General production overhead $ $7\mathrm{.}00$ per direct$-$labor hour

Problem $9-39$ Part $1$

Required:

$1.$ Prepare the sales budget $($in dollars$)$ for $20$x$0.$

$2.$ Prepare the production budget $($in units$)$ for $20$x$0$

$3.$ Prepare the raw material purchases budge

$4.$ Prepare the raw material purchases budget $($in dollars$)$ for $20$x$0.$t $($in quantities$)$ for $20$x$0$

$5.$ Prepare the direct$-$labor budget $($in dollars$)$ for $20$x$0$

$6.$ Prepare the production$-$overhead budget $($in dollars$)$ for $20$x$0.($Round "Cost Driver Rate" to $2$ decimal places.$)$