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Franklin Products Limited manufactures and distributes a number of products to retailers. One of these products, SuperStick, requires five kilograms of material D236 in the

Franklin Products Limited manufactures and distributes a number of products to retailers. One of these products, SuperStick, requires five kilograms of material D236 in the manufacture of each unit. The company is now planning raw materials needs for the third quarter?July, August, and September. Peak sales of SuperStick occur in the third quarter of each year. To keep production and shipments moving smoothly, the company has the following inventory requirements

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Franklin Products Limited manufactures and distributes a number of products to retailers. One of these products, SuperStick, requires four kilograms of material D236 in the manufacture of each unit. The company is now planning raw materials needs for the third quarterJuly, August, and September. Peak sa es of SuperStick occur in the third quarter of each year. To keep production and shipments moving smoothly, the company has the following inventory requirements: a._he nished goods inventory on hand at the end ofeach month must be equal to 8,400 units plus 20% of the next month's sales. The nished goods inventory on June 30 is budgeted to be 22,480 units. b."he raw materials inventory on hand at the end of each month must be equal to 40% ofthe following month's production needs for raw materials. The raw materials inventory on June 30 for material D235 is budgeted to be 130, 600 kilograms. c. "he company maintains no work In process inventories. A sales budget for SuperStick for the last six months of the year follows: Edge-ted Sdes in Units July 50,800 August 75,400 September 105,800 October 53,400 November 30,400 December 15,160 Required: 1. Prepare a production budget for SuperStick for July, August, September, and October. Required production 2. Not available in Connect. 3. Prepare a direct materials purchases budget showing the quantity of material D235 to be purchased for July, August, and September and for the quarter in total. Requiredmucuonwnusr ___ Material D236 needed per unit [kgs.} _ Production needsl (kgs. }

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