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Production estimates for August for Jay Company are as follows: Estimated Inventory (units), August 1 12,000 Desired inventory (units), August 31 9,000 Expected sales volume

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Production estimates for August for Jay Company are as follows: Estimated Inventory (units), August 1 12,000 Desired inventory (units), August 31 9,000 Expected sales volume (units), August 75,000 For each unit produced, the direct materials requirements are as follows: Material A (55 per b.) 3.0 lbs Material B ($18 per lb.) 0.5 lb. The total direct materials purchases (assuming no beginning or ending inventory of material) of Materials A and B required for August production is a $1,170.000 for $70.000 for 3 Ob. 1.000.000 for A 5643.000 for 11 Dc 51.000.000 for A: 51.296.000 for 3 Od 1.125,000 for A: 5675.000 for 3

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