Waterways Corporation is preparing its budeer for the coming year 2020. The first step is to plan for the first quarter of that coming your The company has gathered information from its managers in preparation of the budpeting process Updates Discussions Canter Collabora WileyPLUS Support Unit salcs for November 2019 111,000 Unit sales for December 2019 103,000 Expected unit sales for January 2020 114.000 Expected unit sales for February 2020 112,000 Expected unitsales for March 2020 116.000 Expected unit sales for April 2020 124.000 Expected unit sales for May 202a 1 37.000 Unit selling price $12 ollected in the month of sale, and 15% of the Accounts Receivable are collected in the month after sale Accounts receivable on December 31, 2019, Waterways likes to keep 10% of the next month's unit sales in ending inventory All sales are on account. 85% of the Accounts Recei totaled $185,400 Direct Materials Direct materials cost 80 cents per pound. Two pounds of direct materials are required to produce each unit. Waterways likes to keep 5% of the materials needed for the next month in its endine inventory Raw Materials on December 31, 2019, totaled 11380 pounds. Payment for materials is made within 15 days. 50% is paid in the month of purchase and 50% is paid in the month after purchase Accounts Payable on December 31, 2019 totaled $ 104,585 Direct Labor Labor requires 12 minutes per unit for completion and is paid at a rate of S9 per hour. Manufacturing Overhead Indirect materials 30c per labar hour Indirect labor 50c per labor hour Utilities 50c per labur hour Maintenance 30 per labor hour Salaries $41000 per month Depreciation $ 17 800 per month Property taxes $200 per month Insurance $1,100 per month Maintenance $1.400 per month Selling and Administrative Variable selling and administrative cost per unit is $1.70. Advertising $16.000 a month Insurance $1,500 a month $71.000 a month Depreciation 52.700 a month Other xed costs $3.200 a month Other information The Cashbalance on December 31, 2019. totaled $100.000, but management has decided it would like to maintain a cash balance of at least $700,000 belonine on January 31 2020 Dividends are pakleach month at the rate of $2.70 per share for 5,180 shares outstandine. The company has an open line of credit with Romney's Bank. The terms of the agreement requires borrowing to be in $1,000 increments at interest. Waterways born on the first day of the month and repays on the last day of the month A $550,000 equipment purchase is planned for February For the first quarter of 2020, prepare a manufacturing overhead budget. (Round overhead rate to 2 decimal places, e.g. 5.25 and all other answers to 0 decimal places, e.g. 2,520. List Variable Costs first.) WATERWAYS CORPORATION Manufacturing Overhead Budget For the First Quarter of 2020 First Quarter February January March Quarter Fixed Costs Indirect Materials Indirect Labor Utilities Maintenance Total Variable Cost Fixed Costs Salaries Depreciation Property Taxes Insurance Maintenance Total Fixed Costs Predetermined overhead rate for the quarter Direct Labor Hours Total Manufacturing Overhead Save for Later Last saved 1 hour ago