Tamarisk Company has 2,010 kg of raw materials in its December 31, 2022, ending inventory. Required production for January and February is 5,020 and 6,000 units, respectively. 2 kilograms of raw materials are needed for each unit, and the estimated cost per kilogram is $6. Management wants an ending inventory equal to 25% of next month's materials requirements. Prepare the direct materials budget for January. TAMARISK COMPANY

Tamarisk Company has 2,010 kg of raw materials in its December 31, 2022, ending inventory. Required production for January and February is 5,020 and 6,000 units, respectively. 2 kilograms of raw materials are needed for each unit, and the estimated cost per kilogram is $6. Management wants an ending inventory equal to 25% of next month's materials requirements. Prepare the direct materials budget for January. TAMARISK COMPANY

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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