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ABC Company specializes in unique baskets. Peak sales for one of their products, the Easter basket, occur in March every year. The company has estimated the following sales for the first five months of the year for the Easter basket:

Month	Expected sales in units
January	2,000
February	3,000
March	10,000
April	1,000
May	500

The baskets are considered deluxe as they are very intricate. As such, the company can sell the baskets for $30. The company has a policy of only carrying 5% of the next month's sales in inventory. They estimate to start the year with 100 baskets in inventory. Each basket requires 2.5 meters of plastic. The cost per meter is $2.00. The company wants to ensure it always has enough plastic on hand and therefore has indicated that ending inventory will be 10% of the following month's production needs for plastic. The company had 1,080 meters of plastic on hand as at January 1st. Due to the intricate design, the company uses substantially all production line workers to create the baskets. Each basket takes 1.5 hours to produce and the direct labor rate per hour is $12.00. Overhead is allocated based on labour hours at a predetermined rate of $1.50 per hour. Create a sales, production, direct materials, direct labour and overhead budget for the first quarter of the year. Determine the profit per unit based on your analysis.

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