Direct materials purchases budgetAnticipated sales for Safety Grip Company were 69,000 passenger car tires and 21,000 truck tires. Rubber and steel belts are used in producing passenger car and truck tires as follows:RubberSteel beltsPassenger CarTruck35 lbs. per unit 82 lbs. per unit6 lbs. per unit 15 lbs. per unitThe purchase prices of rubber and steel are $3.70 and $4.80 per pound, respectively. The desired ending inventories of rubber and steel belts are 65,000 and 14,000 pounds, respectively. The estimated beginning inventories for rubber andsteel belts are 76,000 and 11,000 pounds, respectively.Prepare a direct materials purchases budget for Safety Grip Company for the year ended December 31, 20Y9.Safety Grip CompanyDirect Materials Purchases BudgetFor the Year Ending December 31, 20Y9<Line Item DescriptionPounds required for production:Passenger tiresTruck tiresRubberlbs.Steel BeltsTotallbs.Total pounds availablelbs.lbs.Total units purchasedUnit priceTotal direct materials to be purchasedlbs.lbs.x $

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FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Lean Accounting
Current Attempt in Progress Sheridan Construction Company determines that 58000 pounds of direct materials are needed for production in July. There are 4200 pounds of direct materials on hand at July 1 and the desired ending inventory is 3000 pounds. If the cost per unit of direct materials is $5, what is the budgeted total cost of direct materials purchases for the month? ○ $296000. ○ $156000. O $284000. ○ $192000. Save for Later Attempts: 0 of 1 used Submit Answer
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possible Heavy Products, Inc. developed standard costs for direct material and direct labor. In 2017, All estimated the following standard costs for one of their major products, the 10- gallon plastic container. Budgeted quantity. 0.1 pounds Budgeted price $100 per pound $20 per hour Direct materials Direct labor 0.1 hours During June, Heavy Products produced and sold 20,000 containers using 2,500 pounds of direct materials at an average cost per pound of $106 and 2,000 direct manufacturing labor - hours at an average wage of $101.00 per hour. The direct manufacturing labor efficiency variance during June is A. $162,000 favorable O B. $1,620,000 unfavorable OC. $0 M OD. $20,200 unfavorable http He In20 gallo Missim https:// Heav In 2017, 10minus 1 answer Missing: 0

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