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1.2 REQUIRED Use the information provided below to prepare the Direct Materials Purchases Budget for April 2019. (8 marks) INFORMATION The estimated sales volumes of
1.2 REQUIRED Use the information provided below to prepare the Direct Materials Purchases Budget for April 2019. (8 marks) INFORMATION The estimated sales volumes of Product Jip of Polo Manufacturers for April and May 2019 are as follows: Units April 18 000 May 15 000 The policy of Polo Manufacturers is to maintain a finished goods closing inventory each month at a level equal to 40% of the next month's budgeted sales. Each unit of Product Jip requires 2 kg of Material A and 1 kg of Material B. The costs per kg of Material A and Material Bare R10 and R20 respectively. Inventories of materials are expected to be as follows: Opening inventory Closing inventory Material A 5 000 kg 1 000 kg Material B 6 000 kg 2 000 kg
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