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Direct Materials Purchases Budget Tobin's Frozen Pizza Inc. has determined from its production budget the following estimated production volumes for 12 and 16 frozen pizzas
Direct Materials Purchases Budget Tobin's Frozen Pizza Inc. has determined from its production budget the following estimated production volumes for 12" and 16" frozen pizzas for November: Units 12" Pizza 16" Pizza Budgeted production volume 16,600 23,600 There are three direct materials used in producing the two types of pizza. The quantities of direct materials expected to be used for each pizza are as follows: Direct materials: 12" Pizza 16" Pizza Dough 0.90 lb. per unit 1.50 lbs. per unit Tomato Cheese 0.60 1.00 0.80 1.30 In addition, Tobin's has determined the following information about each material: Dough Tomato Cheese Estimated inventory, November 1 560 lbs. Desired inventory, November 30 Price per pound 590 lbs. $1.30 220 lbs. 210 lbs. $2.10 370 lbs. 400 lbs. $3.20 Prepare November's direct materials purchases budget for Tobin's Frozen Pizza Inc. For those boxes in which you must enter subtracted or negative numbers use a minus sign. Tobin's Frozen Pizza Inc. Direct Materials Purchases Budget For the Month Ending November 30 Units required for production: 12" pizza 16" pizza Total units available Total units to be purchased Unit Price Total direct materials to be purchased Direct Materials Dough Direct Materials Tomato Direct Materials Cheese Total x
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