how do you caculate total units of raw materials to be purchased
Required: 1. Calculate the estimated sales, by month and in total, for the third quarter. 2. Calculate the expected cash collections, by month and in total, for the third quarter. 3. Calculate the estimated quantity of beach umbrellas that need to be produced in July. August, September, and Oct 4. Calculate the quantity of Gilden (in feet) that needs to be purchased by month and in total, for the third quarter. 5. Calculate the cost of the raw material (Gilden) purchases by month and,in total, for the third quarter. 6. Calculate the expected cash disbursements for raw material (Gilden) purchases, by month and in total, for the third Answer is not complete. Complete this question by entering your answers in the tabs below. 4. Calculate the quantity of Gilden (in feet) that needs to be purchased by month and in total, for the third quarter. 5. Calculate the cost of the raw material (Gilden) purchases by month and in total, for the third quarter. Milo Company manufactures beach umbrellas. The company is preparing detailed budgets for the third quarter and has assembled the following information to assist in the budget preparation: a. The Marketing Department has estimated sales as follows for the remainder of the year (in units): The selling price of the beach umbrellas is $13 per unit. b. All sales are on account. Based on past experience, sales are collected in the following pattern: 30% in the month of sale 65% in the nonth following sale 5% uncollectible 306 in the month of sale 65\% in the nonth following sale 5\% uncollectible Sales for June totaled $377,000. c. The company maintains finished goods inventories equal to 15% of the following month's sales. This requirement will be met at the end of June. Sales for June totaled $377,000. c. The company maintains finished goods inventories equal to 15% of the following month's sales. This requirement will pe met at the end of June. d. Each beach umbrella requires 4 feet of Giden, a material that is sometimes hard to acquire. Therefore, the company requires that the ending inventory of Gidden be equal to 50% of the following month's production needs. The inventory of Giden on hand at the beginning and end of the quarter will be: June 3 September 38 83,500feet?feet e Gilden costs $0.60 per foot One-half of a month's purchases of Gilden is paid for in the month of purchase, the remainder is paid for in the following month. The accounts payable on July 1 for purchases of Gilden during June will be $42,990 Required: 1. Calculate the estimated sales, by month and in total, for the third quarter. 2 Calculate the expected cash collections, by month and in total, for the third quarter. 3. Calculate the estimated quantity of beach umbrellas that need to be produced in July. August, September, and Octopfer. 4. Calculate the quantity of Gilden (in feet) that needs to be purchased by month and in total, for the third quarter. 5. Calculate the cost of the raw material (Gilden) purchases by month and in total, for the third quarter. 6. Calculate the expected cash disbursements for raw material (Gilden) purchases. bv month and in total. for the third quarter
