The budget dire treasurer, production manager, and sales manager, has gathered the following data for use in developing the budgeted income statement for March: GOLD MEDAL ATHLETIC CO. Sales Budget For the Month Ending March 31 a. Estimated sales for March: 1,200 units at $40 per unit 6,500 units at $160 per unit Unit Sales Total Batting helmet Football helmet. Product Volume Price Sales Batting helmet Footbal helmet Total revenue from sales (Continued) GOLD MEDAL ATHLETIC CO. Production Budget For the Month Ending March 31 Units Batting Football Helmet Helmet Expected units to be sold Total units requred Chapter 22 Aubpoting N Fatimated iwventorie R Marsh Total units to be produced shed producs Butting heimet Foobal hemet Drect materials Plastic 90 tM Foam nng GOLD MEDAL ATHLETIC Co. c Desined inventories at March 31 Direct Materials Purchases Budget se un at 25 per unt 220 unitsSper unit For the Month Ending March 31 Finished products Beng helmet. Football helmet.. Direct materiale 50 Plastic Foam Lining Total d. Direct materials used in production mfacture of batting helmet Plest Foam lining S manfacture of foothall helmet Plastic Foem ning Pounds required for production Bating heimet 120 per unit of product 0.50 per unit of product Footbal heimet 350 per unit of product 150 per unt of product Total pounds required Total pounds to be purchased Anticipated cost of purchases and beginning and ending inventory of direct materials $6.00 per b $4.00 per Unit price per pound) Total direct materials to be purchased Platic Foam Ining E Direct labor requirements GOLD MEDAL ATHLETIC CO. Suming helmet Molding Department. Assembly Department. Football helmet Molding Department Assembly Department... 020 h at 520 per he 0.50 h at 514 per he Direct Labor Cost Budget For the Month Ending March 31 Molding Assembly 0.50 h. at 520 per he Department Department Total 130 hrs at $14 per he Hours required for production Batting heimet & Extimated factory overhead costs for March Football heimet $4.000 Power and light Insurance and property tax Indirect factory wages S86,000 Total hours reguired 2300 Depreciation of plant and equipment 12.000 Hourly rate Total direct labor cost h. Estimated operating expenses for March: Sales salaries expense $184.300 87.200 Advertising expense 32,400 GOLD MEDAL ATHLETIC CO Ofice salaries epense Depreciation expense-office equipment Telephone expense-selling Telephone expense-administrative Travel espense-selling Office supplies expense Miscellaneous administrative expense Factory Overhead Cost Budget For the Month Ending March 31 3,800 S.800 1200 Indirect factory wages Depreciation of plant and equipment 9,000 1,100 Power and ight Insurance and property tax 1,000 Total L Estimated other income and expense for March: Interest revenue $940 GOLD MEDAL ATHLETIC CO. Cost of Goods Sold Budget For the Month Ending March 31 Interest expense 872 IEatimated tax rate: 30% Instructions L. Prepare a sales budget for March. 2 Prepare a production budget for March. 3. Prepare a direct materials purchases budget for March 4 Prepare a direct labor cost budget for March. Direct materials Direct materials purchases Cost of direct materials avalable for use 5. Prepare a factory overhead cost budget for March. 6. Prepare a cost of goods sold budget for March. Work in process at the beginning of Cost of direct materials placed in production Direct labor Factory overhead Total manutacturing costs Total work in process during period n is estimated to be $15,300, and work in process at the end of March is desired Cost of goods manufactured Cost of finished goods avalable for sale to be $14,800. 7. Prepare a selling and administrative expenses budget for March. 8. Prepare a budgeted income statement for March. Cost of goods sold Supporting calculations: Total Finished goods inventory. March 1 Batting heimet GOLD MEDAL ATHLETIC CO. Football heimet Selling and Administrative Expenses Budget For the Month Ending March 31 Total Finished goods inventory. March 31 Batting heimet Selling expenses Football heimet Total Direct materiais inventory. March 1 Foam ining Total Total selling expenses Direct materials inventory, March 31 Administrative expenses Plastic Foam lining Total GOLD MEDAL ATHLETIC CO Selling and Administrative Expenses Budget For the Month Ending March 31 Total administrative expenses Total operating expenses Selling epenses GOLD MEDAL ATHLETIC CO. Budgeted Income Statement For the Month Ending March 31 Total seling expenses Administrative expenses Revenue from sales Cost of goods sold Gross profit Operating expenses Selling expenses Administrative expenses Total operating expenses Income from operations Other revenue and expense: Interest revenue Interest expense Income before income tax