You prepare the direct materials purchase budgets for Clair Jams and Jellies. In June, the company plans to sell 134 cases of peach jam, each containing 14 jars of jam. Each jar of jam requires .70 pounds of peaches. Wastage and spoilage attributed to each jar is .25 pound and .30 pound, respectively. The standard price for each pound of peaches is $8.20. The company plans to have 80 pounds of peaches in inventory at the end of May and 200 pounds of peaches in inventory at the end of June. What will you report as the June direct materials purchase budget for peach jam?

• A :

  $20,213
• B :

  $18,204
• C :

  $18,245
• D :

  $14,760