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Zira Company reports the following production budget for the next four months. Each finished unit requires five pounds of direct materials, and the company wants
Zira Company reports the following production budget for the next four months. Each finished unit requires five pounds of direct materials, and the company wants to end each month with direct materials inventory equal to 40% of next month's production needs. Beginning direct materials inventory for April was 1,284 pounds. Direct materials cost $5 per pound. Prepare a direct materials budget for April, May, and June. (Round your answers to the nearest whole number.) Units to produce April 642 Units to produce Materials required per unit Materials needed for production (pounds) Total materials required (pounds) Materials to purchase (pounds) Cost of direct materials purchases May 670 June 676 July 656 ZIRA COMPANY Direct Materials Budget April 642 0 10 0 S Mayn 670 0 0 0 S June 676 units 0 0 0
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