Spring Manufacturing Company makes two components identified as C12 and D57. Selected budgetary data for 2019 follow: Finished Components C12 D57 Requirements for each finished component: 8 pounds 10 pounds RM 1 4 pounds 1 pound 3 hours RM 2 2 pounds RM 3 Direct labor 2 hours Product information: Sales price Sales (units) Estimated beginning inventory (units) Desired ending inventory (units) 2$ 12,000 190 210 12,000 420 110 0 200 Direct Materials Information RM1 RM2 $ 4.50 1,100 500 RM3 $ 0.50 Cost per pound Estimated beginning inventory in pounds Desired ending inventory in pounds 3,100 500 1,000 3,600 The firm expects the average wage rate to be $25 per hour in 2019. Spring Manufacturing uses direct labor hours to apply overhead. Each year the firm determines the overhead application rate for the year based on budgeted direct labor hours for the year. The firm maintains negligible Work-in-Process Inventory and expects the cost per unit for both beginning and ending inventories of finished products to be identical. Factory Overhead Information Indirect materials-variable 2$ 13,000 4,500 Miscellaneous supplies and tools-variable Indirect labor-variable 37,000 Supervision-fixed Payroll taxes and fringe benefits-variable Maintenance costs-fixed 170, 000 250,000 24, 000 Maintenance costs-variable 10,060 Depreciation-fixed Heat, light, and power-fixed Heat, light, and power-variable Total 71,350 43,460 12,000 $ 635,370 Selling and Administrative Expense Information 2$ 55,000 Advertising Sales salaries 210, 000 , 4,500 Travel and entertainment Depreciation-warehouse Office salaries 63,000 270, 000 Executive salaries Supplies Depreciation-office 4, 300 6,300 $ 673,100 Total The effective income tax rate for the company is 30%. Required: 1. Prepare the Sales budget for 2019. 2. Prepare the Production budget for 2019. 3. Prepare the Direct materials purchases budget (units and dollars) for 2019. 4. Prepare the Direct labor budget for 2019. 5. Prepare the Factory overhead budget for 2019. 6. Prepare the Cost of goods sold and ending finished goods inventory budgets for 2019. 7. Prepare the Selling and administrative expense budget, broken down into two components: Selling Expenses, and Administrative Expenses for 2019. 8. Prepare the Budgeted income statement, the last item of which is labeled After-tax Operating Income for 2019