Direct Materials Purchases Budget

Lorenzos Frozen Pizza Inc. has determined from its production budget the following estimated production volumes for 12'' and 16'' frozen pizzas for September:

	Units
	12" Pizza		16" Pizza
Budgeted production volume	14,200		24,100

Three direct materials are used in producing the two types of pizza. The quantities of direct materials expected to be used for each pizza are as follows:

		12" Pizza		16" Pizza
Direct materials:
	Dough	0.80	lb. per unit	1.50	lbs. per unit
	Tomato	0.50		0.70
	Cheese	0.70		1.30

In addition, Lorenzos has determined the following information about each material:

	Dough		Tomato		Cheese
Estimated inventory, September 1	530	lbs.	210	lbs.	330	lbs.
Desired inventory, September 30	560	lbs.	200	lbs.	360	lbs.
Price per pound	$1.20		$2.40		$3.40

Prepare September's direct materials purchases budget for Lorenzos Frozen Pizza Inc. When required, enter unit prices to the nearest cent.

Lorenzos Frozen Pizza Inc.
Direct Materials Purchases Budget
For the Month Ending September 30
	Dough	Tomato	Cheese	Total
Units required for production:
12" pizza
16" pizza
Total pounds required
Total units to be purchased
Unit price	x $	x $	x $
Total direct materials to be purchased	$	$	$	$