Tableau DA 20-1: Quick Study, Direct materials budget LO P1

Delray Manufacturing needs to better budget and analyze costs. While Delray has experienced high sales growth, it has struggled to effectively manage costs and inventories. Delray aims to end each month with direct materials inventory equal to 40% of next month's production needs. Each finished unit requires 4 pounds of direct materials and 2 hours of direct labor. Delray budgets $12,000 of fixed overhead costs per month. A Tableau Dashboard is provided to aid our analysis. Sales Forecast & Production Budget (in Units) 1,500 Budgeted Production Sales Forecast 1,200+ Budgeted Production 900+ Sales Forecast 300+ April May June July Ending Direct Materials Inventory by Month March April Solve for this value H May Solve for this value June Solve for this value 400 1600 2000 800 1200 Direct Materials (Pounds) Direct labor rate Direct materials cost Variable overhead rate #tableau * K & PO 1. Calculate materials needed (in pounds) for production in each month of April, May, and June. 2. Prepare a direct materials budget for the month of April. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Calculate materials needed (in pounds) for production in each month of April, May, and June. DELRAY MANUFACTURING Direct Materials Needed For April, May, and June April 880 May 1,100 June 1,075 units Budget production (units) Materials needed for production (lbs.) Required 1 Required 2 > Required 1 Required 2 Prepare a direct materials budget for the month of April. TTTTTTTTTTTTTTTTTT DELRAY MANUFACTURING Direct Materials Budget For April Budget production (units) 880 units Materials needed for production (lbs.) Total materials requirements (lbs.) Materials to be purchased (lbs.) Materials price per pound Budgeted cost of direct materials purchases Required 1 Required 2 >