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Production Budget For the quarter ending March 31, 2020 Jan Feb Mar Total Estimated unit sales 11000 11000 8000 30000 Add Ending Inventory Total required Less Begining inventory Total CHOO-FOO COMPANY Direct Labour Budget For the quarter ending March 31, 2020 Jan Feb Mar Total Production in units DLH per unit Total hours required Rate per hour Total Choo-Foo Company makes and sells artistic frames for pictures. The controller is responsible for preparing the master budget and has accumulated the following information for 2020: January February March April May Estimated unit sales 11,000 11,000 8,000 8,000 9,000 Sales price per unit $49.00 $46.30 $46.30 $46.30 $46.30 Direct labour hours per unit 2.0 2.0 1.5 1.5 1.5 Wage per direct labour hour $8.00 $8.00 58.00 $9.00 $9.00 Choo-Foo has a labour contract that calls for a wage increase to $9.00 per hour on April 1. It has installed new labour-saving machinery, which will be fully operational by March 1. Choo Foo expects to begin the year with 18.000 frames on hand and has a policy of carrying an end-of-month inventory of 100% of the following month's sales, plus 50% of the next month's sales (a) Prepare a production budget and a direct labour budget for Choo-Foo by month and for the first quarter of the year. The direct labour budget should include direct labour hours and show the detail for each direct labour cost category. (Hound ON perto I decimal places, 1.2, laborate per hour to 2 decimal places, 12.25 and all other answers to decimal places, ,0. 125.) OD LOOCOMIANY

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