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Zippy's Frozen Pizza Inc. has determined from its production budget the following estimated production volumes for 12'' and 16'' frozen pizzas for September: Units 12

Zippy's Frozen Pizza Inc. has determined from its production budget the following estimated production volumes for 12'' and 16'' frozen pizzas for September:

Units
12" Pizza 16" Pizza
Budgeted production volume 14,900 20,900

There are three direct materials used in producing the two types of pizza. The quantities of direct materials expected to be used for each pizza are as follows:

12" Pizza 16" Pizza
Direct materials:
Dough 0.60 lb. per unit 1.00 lb. per unit
Tomato 0.30 0.45
Cheese 0.50 0.80

In addition, Zippy's has determined the following information about each material:

Dough Tomato Cheese
Estimated inventory, September 1 600 lbs. 220 lbs. 280 lbs.
Desired inventory, September 30 630 lbs. 210 lbs. 310 lbs.
Price per pound $1.20 $2.60 $3.20

Prepare September's direct materials purchases budget for Zippy's Frozen Pizza Inc.

ZIPPYS FROZEN PIZZA INC.
Direct Materials Purchases Budget
For the Month Ending September 30
Dough Tomato Cheese Total
Units required for production:
12" pizza
16" pizza
Plus desired inventory, September 30
Total
Less estimated inventory, September 1
Total units to be purchased
Unit price $ $ $
Total direct materials to be purchased $ $ $ $

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