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Zira Co. reports the following production budget for the next four months. April May June July Production (units) 612 640 646 626 Each finished unit
Zira Co. reports the following production budget for the next four months.
April | May | June | July | |||||
Production (units) | 612 | 640 | 646 | 626 | ||||
Each finished unit requires six pounds of raw materials and the company wants to end each month with raw materials inventory equal to 30% of next months production needs. Beginning raw materials inventory for April was 1,102 pounds. Assume direct materials cost $5 per pound. Prepare a direct materials budget for April, May, and June. (Round your intermediate calculations and final answers to the nearest whole dollar amount.)
Zira Co. reports the following production budget for the next four months. Production (units) April 612 May 640 June 646 July 626 Each finished unit requires six pounds of raw materials and the company wants to end each month with raw materials inventory equal to 30% of next month's production needs. Beginning raw materials inventory for April was 1,102 pounds. Assume direct materials cost $5 per pound Prepare a direct materials budget for April, May, and June. (Round your intermediate calculations and final answers to the nearest whole dollar amount.) ZIRA CO. Direct Materials Budget For April, May, and June April May June Materials needed for production (lbs.) Total materials requirements (lbs.) Materials to be purchased (lbs.) Total budgeted direct materials cost
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