d$.$ Each finished unit requires $0\mathrm{.}50$ hour of direct labor at a rate of $$15$ per hour.

e$.$ The predetermined variable overhead rate is $$2\mathrm{.}70$ per direct labor hour. Depreciation of $$100,000$ per month is the only fixed factory overnead item

f$.$ Sales commissions of $8\%$ of sales are paid in the month of the sales. The sales manager's monthly salary is $$15,000.$

g$.$ Monthly general and administrative expenses include $$60,000$ for administrative salaries and $0\mathrm{.}9\%$ monthly interest on the long$-$term note payable

h$.$ The company budgets $30\%$ of sales to be for cash and the remaining $70\%$ on credit. Credit sales are collected in full in the month following the sale $($no credit sales are

collected in the month of sale$).$

payment of $1\%$ at each month$-$end $($before any repayment$).$ If the month$-$end preliminary cash balance exceeds the minimum, the excess will be used to repay any loans.

k$.$ Dividends of $$50,000$ are budgeted to be declared and paid in May.

I. No cash payments for income taxes are budgeted in the second calendar quarter. Income tax will be assessed at $35\%$ in the quarter and budgeted to be paid in the third

calendar quarter.

m$.$ Equipment purchases of $$500,000$ are budgeted for the last day of June.

Required:

Sales budget $-$ Page $776$ in book

Production budget $-$ Page $777$ in book

Direct materials budget $-$ Page $778$ in book

Direct labor budget $-$ Page $778$ in book

Factory overhead budget Page $779$ in book