Gertrude Products expects the following sales of its single product:

	Units
June	6,160
July	6,660
August	7,360
September	7,960
October	8,960

Required

Gertrude has an ending finished goods inventory policy of 10% of the next month's sales needs. Each unit requires 5 pounds of Chemical A and 14 pounds of Chemical B. July 1 materials inventory includes 8,600 pounds of Chemical A and 76,000 pounds of Chemical B. Gertrude desires to maintain a Chemical A inventory equal to 20% of next month's production needs and a Chemical B inventory equal to 100% of next month's production needs.

Prepare a direct materials purchases budget for Chemical A for the quarter ending September 30. Assume a desired ending inventory for Chemical A of 8,980 pounds at September 30, and a constant unit cost of $2.40 per pound

Note: Deductible answers must be indicated with a minus sign.

Gertrude Products Direct Materials Purchases Budget (Chemical A) For the Quarter Ending September 30
	July		August		September		Total
Budgeted production (units)
Direct materials requirements per unit		pounds		pounds		pounds		pounds
Total direct material needed
Plus: Ending inventory
Less: Beginning inventory
Total purchases of Chemical A	34,340
Cost of Chemical A (per pound)
Budgeted cost of Chemical A purchases