Question
Direct materials purchases budget Tobins Frozen Pizza Inc. has determined from its production budget the following estimated production volumes for 12'' and 16'' frozen pizzas
Direct materials purchases budget
Tobins 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 | 53,000 | 33,000 |
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:
| 12" Pizza | 16" Pizza | ||||
| Direct materials: | |||||
| Dough | 0.55 | lb. per unit | 0.80 | lbs. per unit | |
| Tomato | 0.25 | 0.40 | |||
| Cheese | 0.70 | 1.20 |
In addition, Tobins has determined the following information about each material:
| Dough | Tomato | Cheese | ||||
| Estimated inventory, November 1 | 2,300 | lbs. | 1,100 | lbs. | 2,800 | lbs. |
| Desired inventory, November 30 | 2,200 | lbs. | 1,400 | lbs. | 2,800 | lbs. |
| Price per pound | $0.40 | $0.50 | $0.75 |
This information has been collected in the Microsoft Excel Online file. Open the spreadsheet, perform the required analysis, and input your answers in the question below.
Open spreadsheet
Prepare November's direct materials purchases budget for Tobins Frozen Pizza Inc. For those boxes in which you must enter subtracted or negative numbers use a minus sign. Round your final answers to the nearest dollar.
| Tobins Frozen Pizza Inc. | ||||||||
| Direct Materials Purchases Budget | ||||||||
| For the Month Ending November 30 | ||||||||
| Dough | Tomato | Cheese | Total | |||||
| Units required for production: | ||||||||
| 12" pizza | fill in the blank 2 | fill in the blank 3 | fill in the blank 4 | |||||
| 16" pizza | fill in the blank 5 | fill in the blank 6 | fill in the blank 7 | |||||
| Desired inventory, November 1Desired inventory, November 30Estimated inventory, November 1Estimated inventory, November 30Supervisor salariesDesired inventory, November 30 | fill in the blank 9 | fill in the blank 10 | fill in the blank 11 | |||||
| Total units available | fill in the blank 12 | fill in the blank 13 | fill in the blank 14 | |||||
| Desired inventory, November 1Desired inventory, November 30Estimated inventory, November 1Estimated inventory, November 30Supervisor salariesEstimated inventory, November 30 | fill in the blank 16 | fill in the blank 17 | fill in the blank 18 | |||||
| Total units to be purchased | fill in the blank 19 | fill in the blank 20 | fill in the blank 21 | |||||
| Unit price | x | $fill in the blank 22 | x | $fill in the blank 23 | x | $fill in the blank 24 | ||
| Total direct materials to be purchased | $fill in the blank 25 | $fill in the blank 26 | $fill in the blank 27 | $fill in the blank 28 |
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Financial Accounting IFRS Principles
Authors: Ilse Lubbe, Goolam Modack, Alex Watson
4th Edition
0199049238, 9780199049233
