Prepare the following budgets: Answer E, F, G, and 2.

e. Manufacturing overhead costs budget f. Ending inventories budget (direct materials and finished goods) g. Cost of goods sold budget Suppose Lieux Specialties decides to incorporate continuous improvement into its budgeting process. Describe two areas where it could incorporate continuous improvement into the budget schedules in requirement 1. 2. Manufacturing Overhead Information The budgeted variable manufacturing overhead rate for March 2017 is $22 per direct manufacturing labor-hour. The budgeted fixed manufacturing overhead for March 2017 is $41,000. Both variable and fixed manufacturing overhead costs are allocated to each unit of finished goods. Data relating to finished goods inventory for March 2017 are as follows: Broncos Blanket Rams Blanket Beginning inventory in units 24 Beginning inventory in dollars (cost) $ 4,560 $ 4,640 Target ending inventory in units 34 39 29 Budgeted sales for March 2017 are 190 units of the Broncos blankets and 220 units of the Rams blankets. The budgeted selling prices per unit in March 2017 are $859 for the Broncos blankets and $953 for the Rams blankets. Assume the following in your answer: Work-in-process inventories are negligible and ignored. Direct materials inventory and finished goods inventory are costed using the FIFO method. Unit costs of direct materials purchased and finished goods are constant in March 2017. e. Prepare the manufacturing overhead costs budget. Start by selecing the formula, and calculating the budgeted variable manufacturing overhead costs for March. Variable manufacturing Variable overhead rate overhead costs e. Manufacturing overhead costs budget f. Ending inventories budget (direct materials and finished goods) g. Cost of goods sold budget Suppose Lieux Specialties decides to incorporate continuous improvement into its budgeting process. Describe two areas where it could incorporate continuous improvement into the budget schedules in requirement 1. 2. Manufacturing Overhead Information The budgeted variable manufacturing overhead rate for March 2017 is $22 per direct manufacturing labor-hour. The budgeted fixed manufacturing overhead for March 2017 is $41,000. Both variable and fixed manufacturing overhead costs are allocated to each unit of finished goods. Data relating to finished goods inventory for March 2017 are as follows: Broncos Blanket Rams Blanket Beginning inventory in units 24 Beginning inventory in dollars (cost) $ 4,560 $ 4,640 Target ending inventory in units 34 39 29 Budgeted sales for March 2017 are 190 units of the Broncos blankets and 220 units of the Rams blankets. The budgeted selling prices per unit in March 2017 are $859 for the Broncos blankets and $953 for the Rams blankets. Assume the following in your answer: Work-in-process inventories are negligible and ignored. Direct materials inventory and finished goods inventory are costed using the FIFO method. Unit costs of direct materials purchased and finished goods are constant in March 2017. e. Prepare the manufacturing overhead costs budget. Start by selecing the formula, and calculating the budgeted variable manufacturing overhead costs for March. Variable manufacturing Variable overhead rate overhead costs