Dickson Beverages manufactures its own soda pop bottles. The bottles are made from polyethylene terephthalate $($PET$),$ a lightweight yet strong plastic. Dickson uses as much PET recycled resin pellets in its bottles as it can, both because using recycled PET helps Dickson to meet its sustainability goals and because recycled PET is$-$less expensive than virgin PET.

Dickson is continuing to search for ways to reduce its costs and its impact on the environment. PET plastic is melted and blown over soda bottle moulds to produce the bottles. One idea Dickson's engineers have suggested is to retrofit the soda bottle moulds and change the plastic formulation slightly so that $20\%$ less PET plastic is used for each bottle. The average kilograms of PET per soda bottle before any redesign is $0\mathrm{.}015kg.$ The cost of retrofitting the soda bottle moulds will result in a one$-$time charge of $$122,054,$ while the plastic reformulation will cause the average cost per kilogram of PET plastic to change from $$5\mathrm{.}00$ to $$5\mathrm{.}30.$

View the additional information.

Requirements

Requirement $1.$ Using the original data $($before any redesign of soda bottles$),$ prepare a direct materials budget to calculate the cost of PET purchases in each quarter for the upcoming year and for the year in total.

Start by preparing the direct materials budget through the total quantity needed, and then complete the budget. $($Round all answers to the nearest number. For the quantity of direct materials needed per unit, enter round your answer to three decimal places

X$.$XXX$.$ Use parentheses or a minus sign for beginning inventory balances. Round cost per kilogram to the nearest cent.$)$

Dickson Beverages

Direct Materials Budget

For Quarters $1$ through $4$

Units to be produced

Q Quantity of direct materials needed per unit

Quantity of PET needed for production

Potal quantity needed

Less: Beginning inventory of direct materials

Quantity to purchase

Time Remaining: $01$:$48$:$21$

is own soda pop bottles. The bottles are made from polyethylene terephthalate $($PET$),$ a lightweight yet strong plastic. Dickson uses as much PET recycled resin

Dickson is continuing to search for ways to reduce its costs and its impact on the environment. PET plastic is melted and blown over soda bottle moulds to produce the bottles. One idea Dickson's engineers have suggested is to retrofit the soda bottle moulds and change the plastic formulation slightly so that $20\%$ less PET plastic is used for each bottle. The average kilograms of PET per soda bottle before any redesign is $0\mathrm{.}015kg.$ The cost of retrofitting the soda bottle moulds will result in a one$-$time charge of $$122,054,$ while the plastic reformulation will cause the average cost per kilogram of PET plastic to change from $$5\mathrm{.}00$ to $$5\mathrm{.}30.$

View the additional information.

Requirements

Requirement $1.$ Using the original data $($before any redesign of soda bottles$),$ prepare a direct materials budget to calculate the cost of PET purchases in each quarter for the upcoming year and for the year in total.

Start by prepering the direct materials budget through the total quantity needed, and then complete the budget. $($Round all answers to the nearest number. For the quantity of direct materials needed per unit, enter round your answer to three decimal places

X$.$XXX$.$ Use parentheses or a minus sign for beginning inventory balances. Round cost per kilogram to the nearest cent.$)$

$\backslash$table$[[\backslash$table$[[$Dickson Beverages$],[$Direct Materials Budget$],[$For Quarters $1$ through $4]]],[,$Quarter $1,$Quarter $2,$Quarter $3,$Quarter $4,,$Year$],[$Units to be produced,$2600000,2500000,2300000,2200000,$t$,7300000],[$ Quantity of direct materials needed per unit,$0\mathrm{.}015,0\mathrm{.}015,0\mathrm{.}015,0\mathrm{.}015,,0\mathrm{.}015],[$Quantity of PET needed for production,$39000,37500,34500,33000,,109500],[$Plus: Desired ending inventory$],[$Total quantity needed$],[$Less: Beginning inventory of direct materials,,,,,,$],[$Quantity to purchase,,,,,,$]]$