Your assistant has prepared two budgets: (1) the manufacturing overhead budget shows expected costs to be 125% of direct labor cost, and (2) the direct materials budget for Tarr shows the cost of Tarr purchases to be $303,000 in quarter 1 and $426,500 in quarter 2. (Note: Do not prepare the manufacturing overhead budget or the direct materials budget for Tarr.) (a) Prepare the sales budget. CARLA VISTA FARM SUPPLY COMPANY Production Budget For the Six Months Ending June 30, 2022 Expected Unit Sales Add > : Desired Ending Finished Goods Units Total Required Units Less 7: Beginning Finished Goods Units Reosired Production Units Quarter 1 2 129200 242200 12200 18400 141400 260600 133200 Carla Vista Farm Supply Company manufactures and sells a pesticide called Snare. The following data are available for preparing budgets for Snare for the first 2 quarters of 2022. 1. Sales: quarter 1,29,200 bags; quarter 2,42,200 bags. Selling price is $63 per bag. 2. Direct materials: each bag of Snare requires 5 pounds of Gumm at a cost of $4 per pound and 6 pounds of Tarr at $1.50 per pound, 3. Desired inventory levels: 4. Direct labor: direct fabor time is 15 minutes per bag at an hourly rate of $16 per hour. 5. Selling and administrative expenses are expected to be 15% of sales plus $179.000 per quarter. 6. Interest expense is $100,000 7. Income taxes are expected to be 20% of income before income taxes