. Jordan Auto has developed the following production plan:

Month Units

February 8,000

March 9,000

April 12,000

Each unit contains 3 pounds of direct materials. The desired direct materials ending inventory each month is 120% of the next months production, plus 500 pounds.

Jordan has developed the following direct labor standards for production of these units:

Department 1 Department 2

Hours per unit 2.0 0.5

Hourly rate $7.25 $12.00

Required: Show all work.

a. Budgeted direct materials purchase (in pounds) for March?

b. Budgeted direct labor cost for March?