Chapter 9 Homework Question 2, E9-23A (similar to) Part 1 of 2 HW Sc Po McKnight Industries manufactures a popular interactive stuffed animal for children that requires three computer chips inside each toy. The company pays $2 for each computer chip. To help to quaes states that the ending inventory of computer chips should be at least 20% of the following month's production needs. The production schedule for the first four months of the year is as follows: (Click the icon to view the production schedule.) Requirement Prepare a direct materials budget for the first quarter that shows both the number of computer chips needed and the dollar amount of the purchases in the budget. Prepare the direct materials budget by first calculating the total quantity needed, then complete the budget McKnight Industries Direct Materials Budget For the Months of January through March CHIC Data table January February March Quarter 5,200 4,500 4,900 14,600 Units to be produced Multiply by: Quantity of direct materials needed per unit 2 Quantity needed for production 10400 9000 9800 29200 January February.... March Plus Desired ending inventory of direct materials 1800 1960 5840 5040) April 12200 10000 15640 35040 Total quantity needed Stuff Print Question 2, E9-23A (similar to) Part 1 of 2 HW Score: 80%, 20 of 25 points Points: 0 of 2 Save n that requires tree computer chips inside each toy. The company pays $2 for each computer chip. To help to guard against stockouts of the computer chip. McKnight industries has a policy that following month's production needs. The production schedule for the first four months of the year is as follows of computer chips needed and the collar amount of the purchases in the budget , then complete the budget mech February CORD Data table March Quarter Stuffed animals to be produced 4,500 4,000 54800 January 5.200 9000 9000 20200 1000 0640 5840 10000 15640 35040 February March April 4.500 4.000 4600 Print Done