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Alpen Breads produces organic bread that is sold by the loaf. Each loaf requires 0.5 kg of flour. The company pays $3.30 per kilogram of
Alpen Breads produces organic bread that is sold by the loaf. Each loaf requires 0.5 kg of flour. The company pays $3.30 per kilogram of the organic flour used in its loaves. Alpen Breads 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 company's policy is to have 10% of the following month's flour needs on hand at the end of each month. At the end of June, there were 100 kg 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, and then complete the budget. (Enter the kilogram per unit as a decimal to two places. Round your calculations to the nearest whole number.) Alpen Breads Direct Materials Budget For the Months of July through September Data table July August September Quarter Units to be produced July 1440 loaves Kilograms flour needed per unit August 1,960 loaves Quantity needed (kg) for production September 1,760 loaves Plus: Desired ending inventory of direct materials October 1,580 loaves Total quantity (kg) needed Less: Beginning inventory of direct materials Quantity (kg) to purchase Cost per kilogram Print Done Total cost of direct material purchases (
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