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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

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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 $44. Wesley expects the following unit sales: January February March April May 2.000 2,200 2,700 2,500 1.900 Wesley's ending finished goods inventory policy is 30 percent of the next month's sales. Suppose each handisaw takes approximately 0.75 hours to manufacture, and Wesley pays an average labor wage of $18 per hour. Each handisaw requires a plastic housing that Wesley purchases from a supplier at a cost of $700 each. The company has an ending direct materials inventory policy of 25 percent of the following month's production requirements. Materials other than the housing unit total $4.50 per handisaw. Manufacturing overhead for this product includes $72,000 annual fixed overhead (based on production of 27000 units) and $1.20 per unit variable manufacturing overhead. Wesley's selling expenses are 7 percent of sales dollars, and administrative expenses are fixed at $18,000 per month Required: 1. Compute the budgeted cost of goods sold for the first quarter 2. Compute the budgeted selling and administrative expenses for the first quarter. 3. Complete the budgeted income statement for the handisaw product for the first quarter. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Compute the budgeted cost of goods sold for the first quarter. (Do not round your intermediate calculations. Round final answers to the nearest dollar amount.) January February March 1st Quarter Total $ Budgeted Cost of Goods Sold Required 1 Required 2 Required 3 Compute the budgeted selling and administrative expenses for the first quarter. January February March 1st Quarter Total $ 0 Budgeted Seling and Administrative Expenses Required 1 Required 2 Required 3 Complete the budgeted income statement for the handisaw product for the first quarter. (Do not round cost per unit. Round oth intermediate calculations and final answers to the nearest dollar amount.) WESLEY POWER TOOLS Budgeted Income Statement For the Quarter Ending March January February March 1st Quarter Total Budgeted Gross Profit $ 104,420 Budgeted Net Operating Income 0

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