Direct Materials Purchases Budget

FlashKick Company manufactures and sells soccer balls for teams of children in elementary and high school. FlashKicks 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:

	Practice Balls				Match Balls
	Units		Selling Price		Units		Selling Price
January	45,000		$8.55		6,200		$17.00
February	64,000		$8.55		8,100		$17.00
March	88,000		$8.55		12,500		$17.00
April	115,000		$8.55		16,500		$17.00

FlashKick requires ending inventory of product to equal 20 percent of the next months unit sales. Beginning inventory in January was 9,000 practice soccer balls and 1,240 match soccer balls.

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. FlashKicks policy is that 20 percent of the following months production needs for raw materials be in ending inventory. Beginning inventory in January for all raw materials met this requirement.

Required:

Question Content Area

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.

Direct materials purchases budget for polyvinyl chloride panels:

Polyvinyl chloride panels:	January	February
Units produced
Desired ending inventoryDirect materials for productionDirect materials per unitDirect materials purchasesLess: Beginning inventoryUnits produced	- Select -	- Select -
Direct materials for production
Desired ending inventoryDirect materials for productionDirect materials per unitDirect materials purchasesLess: Beginning inventoryUnits produced	- Select -	- Select -
Total needed
Desired ending inventoryDirect materials for productionDirect materials per unitDirect materials purchasesLess: Beginning inventoryUnits produced	- Select -	- Select -
Direct materials purchases

Question Content Area

Direct materials purchases budget for bladder and valve:

Bladder and valve:	January	February
Units produced
Desired ending inventoryDirect materials for productionDirect materials per unitDirect materials purchasesLess: Beginning inventoryUnits produced	- Select -	- Select -
Direct materials for production
Desired ending inventoryDirect materials for productionDirect materials per unitDirect materials purchasesLess: Beginning inventoryUnits produced	- Select -	- Select -
Total needed
Desired ending inventoryDirect materials for productionDirect materials per unitDirect materials purchasesLess: Beginning inventoryUnits produced	- Select -	- Select -
Direct materials purchases

Question Content Area

Direct materials purchases budget for glue:

Glue:	January	February
Units produced
Desired ending inventoryDirect materials for productionDirect materials per unitDirect materials purchasesLess: Beginning inventoryUnits produced	- Select -	- Select -
Direct materials for production
Desired ending inventoryDirect materials for productionDirect materials per unitDirect materials purchasesLess: Beginning inventoryUnits produced	- Select -	- Select -
Total needed
Desired ending inventoryDirect materials for productionDirect materials per unitDirect materials purchasesLess: Beginning inventoryUnits produced	- Select -	- Select -
Direct materials purchases