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The records of Tesco Corporation show the following information concerning sales in units for the current year 2016 as follows: Quarters Q1/16 Q2/16 Q3/16 04/16 Sales in units 54000 76000 64000 78000 Given that: 1. Selling price per unit is $120 2. The sales manager expects the following changes for the coming year 2017: An increase of 20%in Q1. A decrease of 15% in Q2. No changes in Q3. A decrease of 25% in Q4. 3. The financial policy of the corporation is to collect 30% of the (TSR) of each quarter in the same quarter, 40% in the next quarter, and the rest in the quarter after. 4. The production policy of the corporation is to keep 20% of the total sales of each quarter as an ending inventory for the same quarter. 5. Each unit requires (5) hours of labor (X) and (4) hours of labor (Y). (X) Labor rate per hour is ($4.5) and Y labor rate per hour is ($3.2). 6. Each unit requires (4) units of RM w and (6) units of RM z. 7. The production policy of the corporation is to keep an ending inventory of 25% of the required RM w for each quarter and an ending inventory of 20% of the required RM z for each quarter. Given that: Beginning RM inventory of Q1/17 of RMw is 42000 U. Ending RM inventory of Q4/16 of RMz is 36000 U. 8. Purchase price per unit of RMw is $1.5 and of RMz is $1.8 9. The financial policy of the corporation is to pay the suppliers 40% of the total purchases in the same quarter, and 40% next quarter, and the rest in the quarter after. 10. Given that the total purchase of (Q3/16) is $1700000 and of (Q4/16) is $1600000. 11. The application rate of the variable indirect production cost (MOH) is $13 /U. 12. The estimated fixed indirect production cost elements for the coming year were as follows: $ 100000 factory machines dep./YEAR $ 7000 Gas and Oil/MONTH $ 70000 factory insurance per HALF YEAR $ 60000 factory machines maintenance per QUARTER $ 80000 factory rent for each 3 MONTH 13. The application rate for the variable marketing cost elements is $ 16 /U. 14. Estimated fixed marketing and administrative cost elements for the coming year were as follows: $ 40000 $ 80000 $ 35000 $ 60000 $ 10000 administrative dep. per YEAR marketing dep. per YEAR administrative expenses per QUARTER display insurance per 6 MONTH administrative salaries per MONTH Required: Prepare the following Budgets for the coming period 2017: 1. Sales Budget 2. Cash collection budget 3. Production budget 4. Labour hours budget 5. Direct wages budget 6. Required RM budget 7. Purchase RM units budget 8. Purchase RM Cost Budget 9. Purchase payments Budget 10. M.O.H cost Budget 11. Marketing & administrative cost budget

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