Wildhorse company is oreparing its master budget for 2022. Relevant data pertainubg ti its sales,production,and...

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Accounting

Wildhorse company is oreparing its master budget for 2022. Relevant data pertainubg ti its sales,production,and direct materials budfetd sre as follows
Sales: Sales did the year are expected to total 1,220,000 units. Quarterly sales are 20,25%,25%,and 30%~ respectively. The sales price js expected to be $40 per hnit dor the first theee quarters and $45
Per unit beginning un the fourth quarter. Sales in the first quarter kf 2923 are expected tk be 20% higher than the budgeted sales dir the first quarter of 2022.
Production: Management desires to mainting the ending finished gokds incentories st 25% of the next quarters budgeted sales volume.
Direct materials: each unit requires 2 pounds of raw materials at a cost of $12 per pound. Management desires to maintain raw materials inventories at 10% of the next quarters production requirements. Assume the production requires for first quarter of 2023 are 549,000 pounds.
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