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Lorenzos Frozen Pizza Inc. has determined from its production budget the following estimated production volumes for 12'' and 16'' frozen pizzas for September: Units 12

Lorenzos Frozen Pizza Inc. has determined from its production budget the following estimated production volumes for 12'' and 16'' frozen pizzas for September:

Units
12" Pizza 16" Pizza
Budgeted production volume 12,700 26,600

Three direct materials are used in producing the two types of pizza. The quantities of direct materials expected to be used for each pizza are as follows:

12" Pizza 16" Pizza
Direct materials:
Dough 0.80 lb. per unit 1.50 lb. per unit
Tomato 0.50 0.70
Cheese 0.70 1.30

In addition, Lorenzos has determined the following information about each material:

Dough Tomato Cheese
Estimated inventory, September 1 600 lb. 200 lb. 290 lb.
Desired inventory, September 30 630 lb. 190 lb. 320 lb.
Price per pound $1.20 $2.30 $3.00

Prepare September's direct materials purchases budget for Lorenzos Frozen Pizza Inc. When required, enter unit prices to the nearest cent.

Lorenzos Frozen Pizza Inc.
Direct Materials Purchases Budget
For the Month Ending September 30
Dough Tomato Cheese Total
Units required for production:
12" pizza
16" pizza
Total pounds required
Total units to be purchased
Unit price x $ x $ x $
Total direct materials to be purchased $ $ $ $

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