prepare the direct material budget for the cane sugar

Frontleg Chocolate Company manufactures and sells a premium chocolate called PremiumChoco, The following data are available for preparing budgets for PremiumChoco for June through August of 2020. 1. Sales: June 30,000 pounds: July, 56,000 pounds, August 58,000 pounds. 2. Direct materials: each pound of PremiumChoco requires 5 pounds of cacao seeds at a cost of $2.95 per pound and 4 pounds of cane sugar at 5.50 per pound. 3. Desired inventory levels: Type of Inventory May 1 June 1 July 1 August 1 PremiumChoco (pounds) 7,000 8,000 15,000 18,000 cacao seeds (pounds) 6,000 9,000 10,000 13,000 cane sugar (pounds) 5,000 14,000 20,000 25,000 4. Direct labor: direct labor time is 30 minutes per pound at an hourly rate of $20 per hour. 5. Selling and administrative expenses are expected to be 05 cents per unit sold plus $82,000 per month. 6. Your assistant has prepared two budgets: (1) The manufacturing overhead budget shows expected costs to be 150% of direct labor cost (all variable costs). 7The company uses a 30% markup percentage on total cost 8. Interest Expense is $150,000. 9. Income taxes are expected to be 21% of income before income taxes. Instructions 1) Prepare the direct material budget for Cacao Seeds & Cane Sugar This is all of the information given in the problem and the professor wants this table to be completed. I'm not sure how to complete it with the information given. Frontleg Chocolate Company Direct Materials Budget - Cacao Seeds For the Three Months Ending August 31, 2020 Three Month June July August Months Units to be produced Direct materials per unit (lbs.) Total pounds needed for production Add: Desired ending direct materials (lbs.) Chegg Study Textbook Solutions Expert Q&A Practice overhead budget shows expected costs to be 150% of direct labor cost (all variable costs). 7. The company uses a 30% markup percentage on total cost 8. Interest Expense is $150,000. 9. Income taxes are expected to be 21% of income before income taxes Instructions 1) Prepare the direct material budget for Cacao Seeds & Cane Sugar This is all of the information given in the problem and the professor wants this table to be completed. I'm not sure how to complete it with the information given. || Three August Months Frontleg Chocolate Company Direct Materials Budget - Cacao Seeds For the Three Months Ending August 31, 2020 Month June July Units to be produced Direct materials per unit (lbs.) Total pounds needed for production Add: Desired ending direct materials (lbs.) Total materials required Less: Beginning direct materials (lbs.) Direct materials purchases Cost per pound Total cost of direct materials purchases view comments (0) > search @element