Waterways Corporation is preparing its budget for the coming year, 2022. The first step is to plan for the hrst quarter of that coming year. The company has gathered information from its managers in preparation of the budgeting process. Sales 112,000 Unit sales for November 2021 Unit sales for December 2021 102,000 Expected unit sales for January 2022 114,000 112.000 117,000 Expected unit sales for February 2022 Expected unit sales for March 2022 Expected unit sales for April 2022 Expected unit sales for May 2022 Unit selling price 124,000 139.000 $12 Waterways likes to keep 10% of the next month's unit sales in ending inventory. All sales are on account. 85% of the Accounts Receivable are collected in the month of sale, and 15% of the Accounts Receivable are collected in the month after sale. Accounts receivable on December 31, 2021, totaled $183,600. 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 ending inventory. Raw Materials on December 31, 2021 totaled 11.380 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, 2021, totaled $120,595. Direct Labor Labor requires 12 minutes per unit for completion and is paid at a rate of $9 per hour, Manufacturing Overhead Indirect materials 30 per labor hour Indirect labor 500 per labor hour Utilities 404 per labor hour Maintenance 206 per labor hour Salaries $42.000 per month Depreciation $16,300 per month Property taxes $2.700 per month Question 1 of 1 32.5/100 Insurance $1.300 per month Maintenance $1.300 per month Selling and Administrative Variable selling and administrative cost per unit is $1.50 Advertising $15.000 a month Insurance $1.400 a month Salaries $70.000 a month Depreciation $2.200 a month Other fixed costs $2.800 a month Other Information The Cash balance on December 31, 2021, totaled $103.000, but management has decided it would like to maintain a cash balance of at least 5800.000 beginning on January 31, 2022. Dividends are paid each month at the rate of $2.30 per share for 4.960 shares outstanding. 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 9% interest Waterways borrows on the first day of the month and repays on the last day of the month. A $510.000 equipment purchase is planned for February GGI Question 1 of 1 32.5/100 = For the first quarter of 2022. prepare a direct labor budget. (Round time per unit to nearest hour, es 30 minutes will be rounded to 0.5 hours) WATERWAYS CORPORATION Direct Labor Budget First Quarter January February March Quarter $ $ $ $ $ eTextbook and Media First Quarter January February M Direct Labor Cost Per Hour Direct Materials Purchases Total Required Direct Labor Hours Direct Labor Time (Hours) Per Unit Total Direct Labor Cost Beginning Materials Inventory Total Materials Required Cost Per Pound Direct Materials Per Unit Units to be Produced Desired Ending Inventory Total Pounds Required for Production Total Cost of Direct Materials Purchases $ $ $ $ $