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Please help me understand what is wrong and provide solution. Thanks. Production Budget and Direct Materials Purchases Budgets Pets Plus, Inc. produces otic fluid for
Please help me understand what is wrong and provide solution.
Thanks.
Production Budget and Direct Materials Purchases Budgets Pets Plus, Inc. produces otic fluid for dogs. The otic fluid is sold in 12-ounce plastic bottles. The sales budget for the first four months of the year is as follows: each month be 20% of the next month's production needs. That policy was met on January 1. Required: Download Excel spreadsheet Feedback T Check My Work month for later months. Review the "How to Prepare a Production Budget" example in the text. 2. Prepare a direct materials purchases budget for bottles for the months of January and February. Round all calculations to the nearest whole number. Pet Plus, Inc. Direct Materials Purchases Budget for Bottles Feedback Check My Work Fill in the units produced from Requirement 1. Production in units x Materials per unit = Direct Materials Needed for Production The desired ending inventory for materials is added to the materials to be purchased and is calculated based on future production. Note that the percentage of desired materials inventory does not match the percentage of desired completed inventory. Beginning inventory is calculated from current month production for the first month and is carried forward from the previous month for later months. Direct Materials Needed for Production + Direct Materials in Desired Ending Inventory - Direct Materials in Beginning Inventory = Purchases Review the "How to Prepare a Direct Materials Purchases Budget" example in the text. Prepare a direct materials purchases budget for salicylic acid and water mixture for the months of January and February. Round all calculations to the nearest whole number. Feedback V Check My Work Fill in the units produced from Requirement 1. Production in units x Materials per unit = Direct Materials Needed for Production The desired ending inventory for materials is added to the materials to be purchased and is calculated based on future production. Note that the percentage of desired materials inventory does not match the percentage of desired completed inventory. Beginning inventory is calculated from current month production for the first month and is carried forward from the previous month for later months. Direct Materials Needed for Production + Direct Materials in Desired Ending Inventory - Direct Materials in Beginning Inventory = Purchases Review the "How to Prepare a Direct Materials Purchases Budget" example in the textStep by Step Solution
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