Do Exercise 22-11. Show work. Label calculations. Discuss findings.

EX 22-11 Direct materials purchases budget Anticipated sales for Safety Grip Company were 42,000 passenger car tires and 19,000 truck tires. Rubber and steel belts are used in producing passenger car and truck tires as follows: OBJ, 4 Truck 78 lb. per unit 8 lb. per unit Passenger Car 35 lb. per unit Rubber Steel belts 5 lb. per unit The purchase prices of rubber and steel are $1.20 and $0.80 per pound, respectively The desired ending inventories of rubber and steel belts are 40,000 and 10,000 pounds, respectively. The estimated beginning inventories for rubber and steel belts are 46,000 and 8,000 pounds, respectively Prepare a direct materials purchases budget for Safety Grip Company for the year ended December 31, 20Y8