X Ltd manufactures and sells one product. You are presented with the following information for the preparation of the annual operating budget for the period ending 31 December 2016:

1. Estimated sales in units are 50,000 units for quarter 1, 55,000 units for quarter 2, 55,000 units for quarter 3, and 50,000 units for quarter 4. The estimated per unit selling price is $50 for quarters 1 and 2, and $50.50 for quarters 3 and 4.

2. X Ltd has set the desired ending inventory of its product at 5% of the next quarter's sales units. It is expected that X Ltd will sell 50,000 units in quarter 1 and 60,000 units in quarter 2 of 2017. The beginning inventory on 1 January 2016 is 5000 units.

3. X Ltd uses 5 kg of direct material to produce its product. X Ltd has set the desired ending inventory of its direct material at 10% of the next quarter's manufacturing needs. The beginning inventory on 1 January 2016 is 90,000 kg of direct material. X Ltd has secured a contract price with a supplier, in which the supplier will provide direct materials at a cost of $2.50 per kg over the next 18 months.

4. X Ltd's product is manufactured in batches of 50 units. Each batch requires 10 direct labour hours at a cost of $25 per hour.

5. The estimated variable overhead rate is $20 per direct labour hour. X Ltd estimated the total fixed overhead cost for the year to be $1,500,000.

Required:

Prepare the following budgets for the period ending 31 December 2016:

(i) Sales budget.

(ii) Production budget.

(iii) Direct material purchases budget.

(iv) Direct labour budget.

(v) Overhead budget.