Wesley Power Tools manufactures a wide variety of tools and accessories. One of its more popular items is a cordless power handisaw. Each handisaw sells for $50. Wesley expects the following unit sales: January 2,500 February 2,300 March 3,100 April 2,600 May 2,300 Wesleys ending finished goods inventory policy is 35 percent of the next months sales. Suppose each handisaw takes approximately .35 hours to manufacture, and Wesley pays an average labor wage of $14.50 per hour. Each handisaw requires a plastic housing that Wesley purchases from a supplier at a cost of $6.00 each. The company has an ending raw materials inventory policy of 10 percent of the following months production requirements. Materials other than the housing unit total $4.50 per handisaw. Manufacturing overhead for this product includes $60,000 annual fixed overhead (based on production of 24,000 units) and $.90 per unit variable manufacturing overhead. Wesleys selling expenses are 6 percent of sales dollars, and administrative expenses are fixed at $15,000 per month.

question demand: compute the budgeted cost of goods sold in the first quarter: jan feb and march

budgeted cost of goods sold

budgeted selling and administrative expenses

budgeted income statement for the quarter ending in march