Zoom Add Category Instructions Given Budget OPTIMA, INC. General Information: Selling price of bamboo rocking horses $33.50 Linear feet of bamboo required per rocking horse 3 Cost of bamboo per foot $2.00 Hours required to build 0.50 Average hourly direct labor rate $15.00 Additional information: Ending finished goods inventory (percentage of the next quarter's sales) 40% Ending raw materials inventory (percentage of the next quarter's production) 30% Variable manufacturing overhead rate per direct labor hour Estimated quarterly fixed manufacturing overhead Estimated monthly selling and administrative expenses: Variable Fixed Quarters/Year $8.00 $275,000.00 $6.00 $200,000.00 Expected number of frames sold in following quarters: 4th Quarter 2019 55,000 1st Quarter 2020 65,000 2nd Quarter 2020 70,000 3rd Quarter 2020 75,000 4th Quarter 2020 90,000 1st Quarter 2021 90,000 2nd Quarter 2021 75,000 Additional information: Cash on hand at April 1 $250,000 Percentage of sales in cash 80% Percentage of credit sales collected during quarter of sale Percentage of credit sales collected in quarter following sale 50% 50% Percentage of direct material purchases paid in quarter purchased Percentage of direct material purchases paid in following quarter 80% 20% Depreciation included in quarterly fixed manufacturing overhead $75,000 Depreciation included in quarterly fixed selling and administartive expenses $50,000 Amount expected to be paid for a piece of equipment (purchased in 4th Quarter Minimum cash balance required $750,000 $40,000 Borrowing increments $1 Quarterly dividend payments $250,000 Regarding Inventory: E Insert B Tabl