Se Hels 5 Exercise 8-10 (Static) Production and Direct Materials Budgets (L08-3, L08-4) 2 ponto Pead Products Limited of Shenzhen, China, manufactures and distributes toys throughout South East Asia Tivee cubic centimeters cc of solvent H300 are required to manufacture each unit of Supermix, one of the company products. The company is planning its raw material needs for the third quarter the quarter in which peak sales of Supermix occur. To keep production and sales moving smoothly, the company has the following inventory requirements ht 4 The finished goods inventory on hand at the end of each month most equal 3.000 units of Supermix plus 20% of the next month's Sales. The finished goods inventory on June 30 is budgeted to be 10,000 units, b. The raw materials inventory on hand at the end of each month must equal one-half of the following mont's production needs for raw materials. The raw materials inventory on June 30 is budgeted to be 54.000 cc of solveot H300 c. The company maintains no work in process inventories A monthly sales budget for Supermix for the third and fourth quarters of the year follows Budgeted Wales July 35,000 August 40,000 Septenber 50,000 October 30,000 November 20,000 December 10,000 Required: 1. Prepare a production budget for Supermix for the months July August September, and October 3. Prepare a direct materials budget showing the quantity of solvent H300 to be purchased for July August, and September, and for Souageted to be 54.000 cc of solvent H300 c. The company maintains no work in process inventoiles A monthly sales budget for Supermix for the third and fourth quarters of the year follows heged US July 135,000 August 40,000 September 50.00 Otober 30,000 ower 20,000 Deuter 10.000 Required: 1. Prepare a production budget for Super for the months July August September and October 3. Prepare a diect materials budget showing the quantity of solvent H300 to be purchased for July August, and September and for the quarter in total Complete this question by entering your answers in the tabs below. Required 1 Breda Prepare a production budget for Supermix for the month July August September and October Pearl Products Limited Production Budget July August October Proy 5 of 6 Next > Seve Chh 5 LEURRES I FUL 3. Prepare a direct materials budget showing the quantity of solvent 1000 to be purchased for July August and September and for the quarter in total Complete this question by entering your answers in the tabs below Required 1 Tegured 3 Prepare a production budget for Supermix for the months July August September, and October Pearl Products Limited Production ludget wy August September October Budgeted unta LOSS Dovod nito andre goods or Tends Less units of beginning finished good wtory Fegured production in its F Required 3 > Chorwork 5 S. Prepare a dire material bodget showing the unity of 0 to be the one and The quartet in total Complete this question by entering your answers in the tabs below und Prepared materials but showing the son be purchment and other the Peant Product Limit Due Mallet ly August Seper Thur Under 2000 of production Tras ronde bow we had Required 1 S
