The Bakery at the Lake produces organic bread that is sold by the loaf. Each loaf...

Transcribed Image Text:

The Bakery at the Lake produces organic bread that is sold by the loaf. Each loaf requires 1/2 of a pound of flour. The bakery pays $3.40 per pound of the organic flour used in its loaves. The bakery expects to produce the following number of loaves in each of the upcoming four months: (Click the icon to view the units to be produced.) The bakery has a policy that it will have 20% of the following month's flour needs on hand at the end of each month. At the end of June, there were 146 pounds of flour on hand. Prepare the direct materials budget for the third quarter, with a column for each month and for the quarter. Begin the direct materials budget by determining the total quantity needed, then complete the budget. (Enter the pounds per unit as a decimal to two places. Round your calculations to the nearest whole number.) The Bakery at the Lake Direct Materials Budget For the Months of July through September July Units to be produced Multiply by: Pounds of flour needed per unit Quantity needed (lbs) for production Plus: Desired ending inventory of direct materials Total quantity (lbs) needed - X Data table August September Quarter July.... 1,460 loaves August... 1,860 loaves September 1,760 loaves October 1,460 loaves The Bakery at the Lake produces organic bread that is sold by the loaf. Each loaf requires 1/2 of a pound of flour. The bakery pays $3.40 per pound of the organic flour used in its loaves. The bakery expects to produce the following number of loaves in each of the upcoming four months: (Click the icon to view the units to be produced.) The bakery has a policy that it will have 20% of the following month's flour needs on hand at the end of each month. At the end of June, there were 146 pounds of flour on hand. Prepare the direct materials budget for the third quarter, with a column for each month and for the quarter. Begin the direct materials budget by determining the total quantity needed, then complete the budget. (Enter the pounds per unit as a decimal to two places. Round your calculations to the nearest whole number.) The Bakery at the Lake Direct Materials Budget For the Months of July through September July Units to be produced Multiply by: Pounds of flour needed per unit Quantity needed (lbs) for production Plus: Desired ending inventory of direct materials Total quantity (lbs) needed - X Data table August September Quarter July.... 1,460 loaves August... 1,860 loaves September 1,760 loaves October 1,460 loaves

Answer rating: 100% (QA)

To prepare the direct materials budget for the third quarter we need to calculate the quantity of fl... View the full answer