Part B:

Note: This section is a continuation from Part A of the comprehensive problem. Be sure you have completed Part A before attempting Part B. You may have to refer back to data presented in Part A and use answers from Part A when completing this section.

Genuine Spice Inc. began operations on January 1 of the current year. The company produces 8-ounce bottles of hand and body lotion called Eternal Beauty. The lotion is sold wholesale in 12-bottle cases for $100 per case. There is a selling commission of $20 per case. The January direct materials, direct labor, and factory overhead costs are as follows:

from Part A when completing this section. case. There is a selling commission of $20 per case. The January direct materials, direct labor, and factory overhead costs are as follows: for August. Inventory planning information is provided as follows: Finished Goods Inventory: Materials Inventory: 5. Prepare the August production budget. 6. Prepare the August direct materials purchases budget. Enter the unit price to the nearest cent. 8. Prepare the August factory overhead cost budget. If an amount box does not require an entry, leave it blank. 9. Prepare the August budgeted income statement, including selling expenses