Wildhorse Industries' balance sheet at December $31,2019,$ is presented below.

WILDHORSE INDUSTRIES

Balance Sheet

December $31,2019$

Assets

Current Assets

Property, Plant, and Equipment

Stockholders' Equity

Budgeted data for the year $2020$ include the following.

To meet sales requirements and to have $2,500$ units of finished goods on hand at December $31,2020,$ the production budget shows

$9,000$ required units of output. The total unit cost of production is expected to be $$18.$ Wildhorse uses the first$-$in$,$ first$-$out $($FIFO$)$

inventory costing method. Interest expense is expected to be $$3,500$ for the year. Income taxes are expected to be $40\%$ of income

before income taxes. In $2020,$ the company expects to declare and pay an $$10,640$ cash dividend.

The company's cash budget shows an expected cash balance of $$5,880$ at December $31,2020.$ All sales and purchases are on account.

It is expected that $60\%$ of quarterly sales are collected in cash within the quarter and the remainder is collected in the following

quarter. Direct materials purchased from suppliers are paid $50\%$ in the quarter incurred and the remainder in the following quarter.

Purchases in the fourth quarter were the same as the materials used. In $2020,$ the company expects to purchase additional equipment

costing $$11,080.$$$9,259$ of depreciation expense on equipment is included in the budget data and split equally between

manufacturing overhead and selling and administrative expenses. Wildhorse expects to pay $$9,270$ on the outstanding notes payable

balance plus all interest due and payable to December $31($included in interest expense $$3,500,$ above$).$ Accounts payable at December

$31,2020,$ includes amounts due suppliers $($see above$)$ plus other accounts payable relating to manufacturing overhead of $$9,940.$

Unpaid income taxes at December $31$ will be $$6,530.$

$($a$)$

Prepare a budgeted statement of cost of goods sold.

WILDHORSE INDUSTRIES

Budgeted Cost of Goods Sold

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$($b$)$

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$($c$)$

The parts of this question must be completed in order. This part will be available when you complete the part above.

$($d$)$

The parts of this question must be completed in order. This part will be available when you complete the part above.