I'm confused on getting the quarter totals - any help is appreciated Marcy Jones, Bates & Hill Fabricators' purchasing manager, has just received the company's production budget for the first quarter. January February March Quarter Budgeted unit sales 25,000 28,000 32,000 85,000 + Budgeted ending inventory 5,600 6,400 6,800 6,800 Total units required 30,600 34,400 38,800 91,800 - Beginning inventory 3,200 5,600 6,400 3,200 Budgeted production 27,400 28,800 32,400 88,600 Budgeted sales for April is 34,000 units and for May is 26,000 units. Each brick requires 6 pounds of clay, and Marcy expects to pay $1.50 per pound of clay in the coming year. Company policy requires an ending direct materials inventory each month that will meet 10% of the following month's production needs. Company policy requires an ending finished goods inventory each month that will meet 20% of the following month’s sales volume. Marcy expects to have 15,000 pounds of clay at a cost of $22,500 in inventory at the beginning of the year. Prepare Bates & Hill's direct materials purchases budget for the first quarter. (Enter price per pound to 2 decimal places, e.g. 52.75.)

Name: I'm confused on getting the quarter totals - any help is appreciated M
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Description: I'm confused on getting the quarter totals - any help is appreciated Marcy Jones, Bates & Hill Fabricators' purchasing manager, has just received the company's production budget for the first quarter. January February March Quarter Budgeted unit sal

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

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I'm confused on getting the quarter totals - any help is appreciated

Marcy Jones, Bates & Hill Fabricators' purchasing manager, has just received the company's production budget for the first quarter.

	January	February	March	Quarter
Budgeted unit sales	25,000	28,000	32,000	85,000
+ Budgeted ending inventory	5,600	6,400	6,800	6,800
Total units required	30,600	34,400	38,800	91,800
- Beginning inventory	3,200	5,600	6,400	3,200
Budgeted production	27,400	28,800	32,400	88,600

Budgeted sales for April is 34,000 units and for May is 26,000 units.

Each brick requires 6 pounds of clay, and Marcy expects to pay $1.50 per pound of clay in the coming year. Company policy requires an ending direct materials inventory each month that will meet 10% of the following month's production needs. Company policy requires an ending finished goods inventory each month that will meet 20% of the following month’s sales volume. Marcy expects to have 15,000 pounds of clay at a cost of $22,500 in inventory at the beginning of the year.

Prepare Bates & Hill's direct materials purchases budget for the first quarter. (Enter price per pound to 2 decimal places, e.g. 52.75.)

January
February
March
Quarter
27400
28800
32400
164400
172800
194400
17280
19440
19440
181680
192240
213840
15000
17280
i
19440
i
166680
174960
194400
1.50
1.50
1.50
$
250020
$
262440
291600
%24
%24
%24
%24
%24
%24
%24
%24

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