Italian ski-boot manufacturer Dalbello produces two lines of ski boots, one for recreational skiers (Blue Line)...

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Italian ski-boot manufacturer Dalbello produces two lines of ski boots, one for recreational skiers (Blue Line) and one for advanced skiers (Black Line). Dalbello has chosen the following production plans and would like you to develop a budget for 2018: < Q Units Sold Selling Price DM Variable Cost/Unit DL Variable Cost / Unit Factory Rent 2018 Plans Blue Line Black Line 485,000 165,000 $170- $330- $37. $46 $44 $48.4 $29,391,250 $9. Variable Overhead Rate/DL Hour Production Equipment Depreciation < SG&A Costs R&D Costs Marketing Costs $4,000,000 $7,000,000 $10,000,000 $2,000,000 $3,500,000 $3,200,000 t e Dalbello has also provided you with more detail on their production costs as well as finished goods and direct materials inventory balances: < 2018 Production Information < Q Blue Line Black Line Direct Labor: < t DL Hours per Unit DL Hourly Rate < 2 < 2.2 < $22. Total Direct Labor Cost $44 $48.4 Direct Materials: < e Q Shell Cost $14. < $18 Shells per Unite 1 < Liner Cost $11 $12 Liners per Unit 1 < Buckle Cost $3 $4 Buckles per Unit 4 < Total Direct Materials Cost $37. < $46. < 2018 Inventory Information 2 Blue Black Line < Line Beginning Balances (01/01/2018): < Shells 12,000 6,000 Liners 6,000 1,000 < Buckles 32,000 17,000+ Finished Goods 26,000 16,000 Desired Ending Balance (12/31/2018): < Shells 24,000 < 7,000 Liners 24,000* 7,000+ Buckles 48,000 < 14,000+ Finished Goods 48,000 12,000 2 Italian ski-boot manufacturer Dalbello produces two lines of ski boots, one for recreational skiers (Blue Line) and one for advanced skiers (Black Line). Dalbello has chosen the following production plans and would like you to develop a budget for 2018: < Q Units Sold Selling Price DM Variable Cost/Unit DL Variable Cost / Unit Factory Rent 2018 Plans Blue Line Black Line 485,000 165,000 $170- $330- $37. $46 $44 $48.4 $29,391,250 $9. Variable Overhead Rate/DL Hour Production Equipment Depreciation < SG&A Costs R&D Costs Marketing Costs $4,000,000 $7,000,000 $10,000,000 $2,000,000 $3,500,000 $3,200,000 t e Dalbello has also provided you with more detail on their production costs as well as finished goods and direct materials inventory balances: < 2018 Production Information < Q Blue Line Black Line Direct Labor: < t DL Hours per Unit DL Hourly Rate < 2 < 2.2 < $22. Total Direct Labor Cost $44 $48.4 Direct Materials: < e Q Shell Cost $14. < $18 Shells per Unite 1 < Liner Cost $11 $12 Liners per Unit 1 < Buckle Cost $3 $4 Buckles per Unit 4 < Total Direct Materials Cost $37. < $46. < 2018 Inventory Information 2 Blue Black Line < Line Beginning Balances (01/01/2018): < Shells 12,000 6,000 Liners 6,000 1,000 < Buckles 32,000 17,000+ Finished Goods 26,000 16,000 Desired Ending Balance (12/31/2018): < Shells 24,000 < 7,000 Liners 24,000* 7,000+ Buckles 48,000 < 14,000+ Finished Goods 48,000 12,000 2