Pet Luggage Company makes two pet carriers, the Cat-allac and the Dog-eriffic. They are both made of

Question:

Pet Luggage Company makes two pet carriers, the Cat-allac and the Dog-eriffic. They are both made of plastic with metal doors, but the Cat-allac is smaller. Information for the two products for the month of April is given in the following tables:

Pet Luggage accounts for direct materials using a FIFO cost flow assumption.

Pet Luggage uses a FIFO cost flow assumption for finished goods inventory. Pet Luggage uses an activity-based costing system and classifies overhead into three activity pools: Setup, Processing, and Inspection. Activity rates for these activities are $130 per setup-hour, $5 per machine-hour, and $20 per inspection-hour, respectively. Other information follows:

Non-manufacturing fixed costs for March equal $32,000, of which half are salaries. Salaries are expected to increase 5% in April. The only variable non-manufacturing cost is sales commission, equal to 1% of sales revenue. Prepare the following for April:Required1. Revenues budget2. Production budget in units3. Direct material usage budget and direct material purchases budget4. Direct manufacturing labor cost budget5. Manufacturing overhead cost budgets for each of the three activities6. Budgeted unit cost of ending finished goods inventory and ending inventories budget7. Cost of goods sold budget8. Non-manufacturing costs budget9. Budgeted income statement (ignore incometaxes)