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Waterways Corporation is preparing its budget for the comang year. 2022. The first step is to plan for the first quarter of that coming year.

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Waterways Corporation is preparing its budget for the comang year. 2022. The first step is to plan for the first quarter of that coming year. The company has gathered information from its managers in preparation of the budgeting process. Waterways likes to keep 10% of the next month's unit sales in ending inventory. All soles are on account. 85% of the Accounts Recervable are collected in the monthof sale. and 15% of the Accounts Receivable are collected in the month after sale. Accounts recelvable on December 31,2021 , tolaled $183,780 Direct Materials Direct materials cost 75 cents per pound. Two pounds of direct materials are required to produce eachunit. Woterways like to keep 57 of the materials needed for the next month in its ending imvertocy Raw Materials on Decemben 31.2021. totaled 11,295 pounds. Payment for materials is made within 15 days, 500 is paid in the month of purchase, and 5006 is paid in the month aiter purchase Accounts Payable on December 31, 2021, totaled \$120,595. Direct labor Labor requires 12 minutes per unit for completion and is paid at a rate of $8 per hour: tabor cequires 12 minotes per unttor conveletion and is bad at a rate of $9 per hour Osheriviorination \$500000 equipmoset purchaie is tilaneidfor fobnuar WATERWAYS CORPORATION Direct Materials Budget For the Burit Quarter of 2022 submission can take up to 10 minutes For the first qustter of 2022. prepare a direct materials budget. (Round cost per pound to 2 decimal ploces, es. 0.25 and all other answers to 0 decimal ploces, es. 2,520

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