$\backslash$table$[[\backslash$table$[[$Direct Materials$],[$Budget$]],1$st Quarter,$2$nd Quarter,$3$rd Quarter,$4$th Quarter,Total$],[$Production in Units,,,,,$],[\backslash$table$[[=x$ direct materials$],[$per unit$]],,,,,],[,,,,,],[\backslash$table$[[$Add: Desired Ending$],[$Direct Materials$]],,,,,],[\backslash$table$[[=$ Total materials$],[$required$]],,,,,],[\backslash$table$[[$Less: Beginning direct$],[$materials$]],,,,,],[,,,,,],[\backslash$table$[[x$ cost per unit of$],[$materials$]],,,,,],[\backslash$table$[[=$ Total Cost of Direct$],[$Materials purchased$]],,,,,]]$Which budget tends to be the starting point for a company to create? Why is it that specific

budget? $(6$pts$)\backslash$table$[[\backslash$table$[[$Direct Materials$],[$Budget$]],1$st Quarter,$2$nd Quarter,$3$rd Quarter,$4$th Quarter,Total$],[$Production in Units,,,,,$],[\backslash$table$[[=x$ direct materials$],[$per unit$]],,,,,],[,,,,,],[\backslash$table$[[$Add: Desired Ending$],[$Direct Materials$]],,,,,],[\backslash$table$[[=$ Total materials$],[$required$]],,,,,],[\backslash$table$[[$Less: Beginning direct$],[$materials$]],,,,,],[,,,,,],[\backslash$table$[[x$ cost per unit of$],[$materials$]],,,,,],[\backslash$table$[[=$ Total Cost of Direct$],[$Materials purchased$]],,,,,]]$ Scholastic Furniture, Inc. manufactures a variety of desks, chairs, tables and shelf units which are

sold to public schools throughout the Northeast. The controller of the company's Desk Division

is currently preparing a budget for FY $2022.$ The following sales forecast has been made by the

division's sales manager:

Each desk and chair set require $11$ feet of pine planks and $1\mathrm{.}5$ hours of direct labor. Each set sells for

$$50.$ Pine planks $($raw material$)$ cost $$\mathrm{.}50$ per foot, and the division ends each month with enough wood

to cover $10\%$ of the next month's production requirements. The division incurs a cost of $$20\mathrm{.}00$ per

hour for direct labor wages and fringe benefits. The division begins each month with enough finished

goods inventory to cover $10\%$ of the next month's sales.

Complete the following $4$ budget schedules $($following pages$).(20$ pts$)$

Budgeting and Planning