P1. Coyote Inc. is preparing its annual budgets for the year ending December 31, 2022. Accounting assistants furnish the data shown below. Sales budget:
Anticipated volume in units of finished good 600,000 Production budget:
Desired ending finished goods units 30,000
Beginning finished goods units Direct materials budget:
Direct materials per unit of finished good (pounds) 4
Desired ending direct materials pounds 50,000
Beginning direct materials pounds 40,000 Direct labor budget: Direct labor time per unit of finished good 0.5 Direct labor rate per hour $20
Budgeted income statement: Total unit cost (COGM/unit) $22
The selling expenses budget is $560,000, while the administrative expenses budget is $540,000. . Interest expense is $150,000 and income taxes are expected to be 30%.
Instructions: Prepare sales, production, direct materials, direct labor, and income statement budgets