Chapter 9 - Homework Saved 6 ! Part 3 of 3 Required information Problem 9-31 Production and Direct-Labor Budgets; Activity-Based Overhead Budget (LO 9-3, 9-4, 9-5, 9. 6) {The following information applies to the questions displayed below. 1 paints Spiffy Shades Corporation manufactures artistic frames for sunglasses. Talia Demarest, controller, is responsible for preparing the company's master budget. In compiling the budget data for 20x1, Demarest has learned that new automated production equipment will be installed on March 1. This will reduce the direct labor per frame from 1 hour to 0.75 hour. X 02:07:39 Chapter 9 - Homework Saved 6 100 percent of the following months sales plus 50 percent of the second following month's sales. These and other data compiled by Demarest are summarized in the following table. Part 3 of 3 January 1.6 $ 16.00 10, 800 $ 50.ee February 1.0 $ 16.00 12,080 $ 47.50 March 0.75 $ 16.00 8, e30 $ 47.50 April 0.75 $ 18.00 9,800 $ 47.50 May 6.75 $ 18.00 9.ee $ 47.50 1 points Direct-lahor hours per unit Wage per direct labor hour Estimated unit sales Sales price per unit Production overhead: Shipping and handling (per unit sold) Purchasing, material handling, and inspection (per unit produced) Other production overhead (per direct-labor hour) $ 2.00 $ 2.80 $ 2.00 $ 2.00 $ 2.00 $ 3.00 $ 3.80 $ $ 3.00 $ 3.00 $ 3.00 X 02:07:38 $ 7.00 $7.99 $ 7.90 $7.ee $ 7.00 eBook Problem 9-31 Part 3 Print 3. Prepare a production overhead budget for each month and for the first quarter. References SPIFFY SHADES CORPORATION Production Overhead Budget For the First Quarter of 20x1 Month January February March Quarter Shipping and handling Purchasing, material handling, and inspection Other overhead Total production overhead $ 0 0 $ 0 $ $ 0