Hiking Co ("the company") needs your help with preparing their operating budgets for the coming year. They have asked you to focus on their walking shorts product line for the first quarter of 2020. The projected sales for the first quarter of 2020 and the projected beginning and ending inventory balances are as follows: Unit sales are 10,000 for the quarter. Unit sales price is $25 per unit. Number of units in closing inventory on Dec 31, 2019 is 0 (ZERO) units. Desired number of units in closing inventory on Mar 31, 2020 is 5% of sales for the quarter. The products are cut and sewn by the company and then university and college crests are added. Each unit requires half an hour of direct labour time and direct labour costs $17 per hour. Each unit is made of 1.5 meters of high quality material which costs $20 per metre. The company's inventory policy is to have 250 meters of direct materials in inventory at the end of each quarter. The company's variable overhead rate is $10 per direct labour hour. The company's fixed overhead is budgeted at $1,250 per month. You will be preparing the company's Sales Budget and Production Budget based upon the above information. In addition, in the questions below, you will be given an assumed production level amount to use for preparing the Direct Labour, Direct Materials and Overhead Budgets