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Chapter 8 Homework Direct Materials Purchases Budget FlashKick Company manufactures and sells soccer balls for teams of children in elementary and high school. Flash Kick's
Chapter 8 Homework Direct Materials Purchases Budget FlashKick Company manufactures and sells soccer balls for teams of children in elementary and high school. Flash Kick's best-selling lines are the practice ball line (durable soccer balls for training and practice) and the match ball line (high-performance soccer balls used in games). In the first four months of next year, FlashKick expects to sell the following: January February March Units Required: Practice Balls 48,000 59,000 83,000 115,000 Selling Price $8.65 $8.65 $8.65 Polyvinyl chloride panels: Units produced $8.65 Direct materials purchases budget for polyvinyl chloride panels: FlashKick Company Units Direct Materials Purchases Budget - Polyvinyl Chloride Panels For January and February 6,600 7,900 13,000 January February 16,000 Match Balls Selling Price April Flashkick requires ending inventory of product to equal 20 percent of the next month's unit sales. Beginning inventory in January was 9,600 practice soccer balls and 1,320 match soccer balls. $16.20 Every practice ball requires 0.6 square yard of polyvinyl chloride panels, one bladder with valve (to fill with air), and 2 ounces of glue. FlashKick's policy is that 20 percent of the following month's production needs for raw materials be in ending inventory. Beginning inventory in January for all raw materials met this requirement. $16.20 $16.20 Construct a direct materials purchases budget for each type of raw materials for the practice ball line for January and February of the coming year. If required, round your answers to the nearest cent. $16.20
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