Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Current Attempt in Progress Swifty Manufacturing manufactures two products. (1) Regular and (2) Deluxe. The budgeted units to be produced are as follows: Units of

image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
Current Attempt in Progress Swifty Manufacturing manufactures two products. (1) Regular and (2) Deluxe. The budgeted units to be produced are as follows: Units of Product 2022 Regular Deluxe Total July 10.100 15.900 26,000 August 5.900 17.200 11,300 14,500 September 9.000 23,500 October 7.800 12.100 19.900 It takes 3 pounds of direct materials to produce the Regular product and 6 pounds of direct materials to produce the Deluxe product. It is the company's policy to maintain an inventory of direct materials at the end of each month equal to 30% of the next month's production needs for the Regular product and 20% of the next month's production needs for the Deluxe product Direct materials inventory on hand at June 30 were 9,090 pounds for the Regular product and 19,080 pounds for the Deluxe product. The cost per pound of materials is $6 for the Regular product and $8 for the Deluxe. Prepare separate direct materials budgets for each product for the third quarter of 2022 -14 WONOACTIC Direct Materials Budget-Regular July Units to be produced August 10100 5900 Direct materials per unit 3 3 Total pounds needed for production 30300 17700 Add Desired ending direct materials inventory 5310 8:00 Total pounds of direct materials required 35610 25800 Less Beginning direct materials inventory 9090 5310 Budgeted direct materials purchases 26520 20490 Cost per pound $ 6 $ 6 $ Budgeted cost of direct materials purchases 159120 $ 1229:40 VITVIANUFACTURING Direct Materials Budget-Regular July August September Total 10100 5900 9000 3 3 3 30300 17700 27000 5310 8100 35610 25800 9090 5310 26520 20490 $ 6 $ 6 $ $ & $ 159120 122940 $ $ -/4 III SWIFTYMANUFACTURING Direct Materials Budget-Deluxe Units to be produced July August 15900 Direct materials per unit 11300 6 Total pounds needed for production 95400 67800 Add Desired ending direct materials inventory 13560 17400 Total pounds of direct materials required 108960 85200 Less Beginning direct materials inventory 19080 13560 Budgeted direct materials purchases 89880 71640 Cost per pound $ 8 $ 8 $ Budgeted cost of direct materials purchases $ 719040 $ 573120 $ > - 4 July August September Total 15900 11300 6 6 95400 67800 13560 17400 108960 85200 19080 13560 89880 71640 $ 8 $ 8 $ $ 719040 $ 573120 $ $

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Analysing Financial Statements For Non-Specialists

Authors: Jim OHare

2nd Edition

1138641529, 9781138641525

More Books

Students also viewed these Accounting questions

Question

How is total project variance determined in CPM/PERT analysis?

Answered: 1 week ago