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Ornamental Sculptures Mfg. manufactures garden sculptures. Eachsculpture requires 8 pounds of direct materials at a cost of $4 perpound and 0.4 direct labor hours at a rate of $11 per hour.Variable manufacturing overhead is charged at a rate of $3 perdirect labor hour. Fixed manufacturing overhead is $4,200 permonth. The company’s policy is to maintain direct materialsinventory equal to 20% of the next month’s materials requirement.At the end of February the company had 5,080 pounds of directmaterials in inventory. The company’s production budget reports thefollowing.Production BudgetMarchAprilMayUnits to be produced4,0004,9005,700(1) Prepare direct materials budgets for March andApril.(2) Prepare direct labor budgets for March andApril.(3) Prepare factory overhead budgets for March andApril.