(Solved by Humans)-Problem 9-52 Direct Materials and Direct Labor Budgets Willison Company produces stuffed toy...

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Problem 9-52  Direct Materials and Direct Labor Budgets Willison Company produces stuffed toy animals; one of these is Betty Rabbit. Each rabbit takes 0.2 yards of fabric and six ounces of polyfiberfill. Fabric costs $3.50 per yard, and polyfiberfill is $0.05 per ounce.  Willison  has budgeted  production  of stuffed  rabbits  for the next  four  months  as follows: Units   October 20,000 November 40,000 December 25,000 January 30,000 Inventory policy requires that sufficient fabric be in ending monthly inventory to satisfy 15% of the following month’s production needs and sufficient polyfiberfill be in inventory to satisfy 30% of the following month’s production needs. Inventory of fabric and polyfiberfill at the beginning of October equals exactly the amount needed to satisfy the inventory policy. Each rabbit produced requires (on average) 0.10 direct labor per hour. The average cost of direct labor is $15.50 per hour. Required: 1.       Prepare a direct materials purchases budget of fabric for the last quarter of the year, show- ing purchases in units and in dollars for each month and for the quarter in total. 2.       Prepare a direct materials purchases budget of polyfiberfill for the last quarter of the year, showing purchases in units and in dollars for each month and for the quarter in total. 3.       Prepare a direct labor budget for the last quarter of the year, showing the hours needed and the direct labor cost for each month and for the quarter in total.