Question
Zira company reports the following production budget for the next four months. Production (units)April 666 May 720 June 698 July 678 Each finished unit requires
Zira company reports the following production budget for the next four months.
Production (units)April 666 May 720 June 698 July 678
Each finished unit requires five pounds of raw materials and the company wants to end each month with raw materials inventory equal to 40% of next month's production needs. Beginning raw materials inventory for April was 1,332 pounds. Assume direct materials costs of $4 per pound.
How do I prepare a direct materials budget for April, May, and June. Round to nearest dollar.
Materials needed for production (lbs) April May June
Total Materials requirements (lbs) April May June
Materials to be purchased April May June
Total budget direct materials cost April May June
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