Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Direct Materials Purchases Budget Langer Company produces plastic items, induding plastic housings for humidifiers. Each housing requires about 1 7 ounces of plastic costing $

Direct Materials Purchases Budget
Langer Company produces plastic items, induding plastic housings for humidifiers. Each housing requires about 17 ounces of plastic costing $0.12 per ounce. Langer molds the plastic into the proper shape. Langer has budgeted production of the housings for the next 4 months as follows:
\table[[,Units],[July,3,500],[August,4,400],[September,4,900],[October,6,300]]
Inventory policy requires that sufficient plastic be in ending monthly inventory to satisfy 30% of the following month's production needs. The inventory of plastic at the begining of July equals exactly the amount needed to satisfy the inventory policy.
Requlred:
Prepare a direct materials purchases budget for July, August, and September; showing purchases in units and in dollars for each month and in total, If required, round the total punchase cost to nearest whole value.
image text in transcribed

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

Police Auditing Standards And Applications

Authors: Allan Y. Jiao

2nd Edition

0398090750, 978-0398090753

More Books

Students also viewed these Accounting questions

Question

What is an XBRL instance document?

Answered: 1 week ago