CALCULATOR PRINTER VERSION BACK NEXT Problem 9-2A (Video) Deleon Inc. is preparing its annual budgets for the year ending December 31, 2020. Accounting assistants furnish the data shown below. Sales budget: Anticipated volume in units Unit selling price Product JB 50 Product JB 60 403,200 203,300 $23 $28 Production budget: Desired ending finished goods units 28,000 17,000 Beginning finished goods units 33,500 12,100 Direct materials budget: Direct materials per unit (pounds) 1 2 Desired ending direct materials pounds 33,100 16,400 Beginning direct materials pounds 44,900 14,900 Cost per pound $3 $4 Direct labor budget: Direct labor time per unit Direct labor rate per hour 0.3 0.6 $11 $11 Budgeted income statement: Total unit cost $14 $22 An accounting assistant has prepared the detailed manufacturing overhead budget and the selling and administrative expense budget. The latter shows selling expenses of $665,000 for product JB 50 and $362,000 for product JB 60, and administrative expenses of $545,000 for product JB 50 and $344,000 for product JB 60. Interest expense is $150,000 (not allocated to products). Income taxes are expected to be 30%.