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E9-22A (similar to) Question Help Anderson Manufacturing produces self-watering planters for use in upscale retail establishments. Sales projections for the first five months of the upcoming year show the estimated unit sales of the planters each month to be as follows: 2 (Click the icon to view additional information.) Inventory at the start of the year was 350 planters. The desired inventory of planters at the end of each month should be equal to 10% of the following month's budgeted sales. Each planter requires two pounds of polypropylene (a type of plastic). The company wants to have 20% of the polypropylene required for next month's production on hand at the end of each month. The polypropylene costs $0.25 per pound. Read the requirements. Requirement 1. Prepare a production budget for each month in the first quarter of the year, including production in units for each month and for the quarter. Anderson Manufacturing Production Budget For the Months of January through March January February 3,500 3,400 March Quarter 10,500 Unit sales 3,600 Plus: Desired ending inventory Total needed 350 350 Less: Beginning inventory Units to produce Enter any number in the edit fields and then click Check Answer. ? 2 parts Clear All Check Answer remaining Requirement 2. Prepare a direct materials budget for the polypropylene for each month in the first quarter of the year, including the pounds of polypropylene required and the total cost of the polypropylene to be purchased Start by preparing the direct materials budget through the total quantity needed, then complete the budget March Quarter Smith Manufacturing Direct Materials Budget For the Months of January through March January February Units to be produced Multiply by: Quantity of direct materials needed per unit Quantity needed for production Plus: Desired ending inventory of direct materials Total quantity needed Less: Beginning inventory of direct materials Quantity to purchase Multiply by: Cost per pound Total cost of direct material purchases Number of planters to be sold 3,500 3,400 January February. March..... April.... May 3,600 4,000 4,200