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Marino's Frozen Pizza Inc. has determined from its production budget the following estimated production volumes for 12'' and 16'' frozen pizzas for June 2016 Units
Marino's Frozen Pizza Inc. has determined from its production budget the following estimated production volumes for 12'' and 16'' frozen pizzas for June 2016
Units 12" Pizza 16" Pizza Budgeted production volume 15,600 22,800 There are three direct materials used in producing the two types of pizza. The quantities of direct materials expected to be used for each pizza are as follows: 12" Pizz 16" Pizz Direct materials: Dough Tomato Cheese 0.90 lb. per unit 0.60 0.80 1.50 lbs. per unit 1.00 1.30 In addition, Marino's has determined the following information about each material: Estimated inventory, June 1, 2016 Desired inventory, June 30, 2016 Price per pound Prepare June's direct materials purchases budget for Marino's Frozen Pizza Inc. When required, enter unit prices to the nearest cent. Dough Tomato 570 lbs. 190 lbs. 600 lbs.180 lbs. $1.2 Cheese 380 lbs 410 lbs $3.1 $2.3 Marino's Frozen Pizza Inc. Direct Materials Purchases Budget For the Month Ending June 30, 2016 Dough eese Total Units required for production 12" pizza 16" pizza Plus desired inventory, June 30, 2016 Total Less estimated inventory, June 1, 2016 Total units to be purchased Unit price Total direct materials to be purchasedStep by Step Solution
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