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Apple Inc Drect Materal Purchases Budget For the Year Ended December 31, 2021 Quarter 1 2 3 + Year 3.900 3 x 3,200 5,000 5,100 17,200 X Total production was x 3 omces per Total production needs nounces drect materal sectory X 11,700 1.920 3,600 3,600 13,620 2.340 Less desired Ounces of begong direct manteraks mestory- Total ounces of drect materials to be purchased X Cost per Ounce 2.340 11 280 X 5.10 x X X Total cost of direct material purchases $1,128 Note Budgeted production needs in ounces for the first quarter of 2021-18.000 ounces Desired ounces of ending direct materials inventory - 20% of next quarter's budgeted production needs in ounces. - Desired ounces of beginning direct material inventory - 20% of current quarter's budgeted production needs in ounces