TB MC Qu. 8-176 (Algo) Caspion Corporation makes and sells... Caspion Corporation makes and sells a product called a Miniwarp. One Miniwarp requires 8.5 kilograms of the raw material Jurislon. Budgeted production of Miniwarps for the next five months is as follows: August September October November December 23,200 units 21,900 units 23,300 units 24,500 units 24,200 units The company wants to maintain monthly ending inventories of Jurision equal to 20% of the following month's production needs. On July 31, this requirement was not met since only 11,400 kilograms of Jurision were on hand. The cost of Jurislon is $24 per kilogram. The company wants to prepare a Direct Materials Purchase Budget for the next five months. The total cost of Jurision to be purchased in August is:

TB MC Qu. 8-176 (Algo) Caspion Corporation makes and sells... Caspion Corporation makes and sells a product called a Miniwarp. One Miniwarp requires 8.5 kilograms of the raw material Jurislon. Budgeted production of Miniwarps for the next five months is as follows: August September October November December 23,200 units 21,900 units 23,300 units 24,500 units 24,200 units The company wants to maintain monthly ending inventories of Jurision equal to 20% of the following month's production needs. On July 31, this requirement was not met since only 11,400 kilograms of Jurision were on hand. The cost of Jurislon is $24 per kilogram. The company wants to prepare a Direct Materials Purchase Budget for the next five months. The total cost of Jurision to be purchased in August is:

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

hello!! please help! I think this is right
Prn.5
Question 5 Please fill in the blanks and explain.
nprogress=false Print Item Sunrise Poles manufactures hiking poles and is planning on producing 3,800 units in March and 3,700 units in April. Each pole requires a half pound of material, which costs $1.00 per pound. The company's policy is to have enough material on hand to equal 10% of the next month's production needs and to maintain a finished goods inventory equal to 25% of the next month's production needs. What is the budgeted cost of purchases for March? Budgeted cost of purchases $ Previous Nex
Exercise 3 (Materials Purchase Budget) Mini Products, Inc., has developed a very powerful electronic calculator. Each calculator requires three small "chips" that cost P2 per chip and are purchased from an overseas supplier. Mini Products has prepared a production budget for the calculator by quarters for Year 2 and for the first quarter of Year 3, as shownbelow. Year2 Year3 First Second Third Fourth First Budgeted production incalculators. . 60,000 90,000 150,000 100,000 80,000 The chip used in production of the calculator is sometimes hard to get, so it is necessary to carry large inventories as a precaution against stockouts. For this reason, the inventory of chips at the end of the quarter must be equal to 20% of the following quarter's production needs. Some 36,000 chips will be on hand to start the first quarter of Year 2. Required: Prepare a materials purchases budget for chips, by quarter and in total, for Year 2. At the bottom of your budget, show the peso amount of purchases…
question 2
January 1 - 40,000 meters December 31 - 10,000 meters The Production Budget indicates that 450,000 units need to be produced to meet the expected sales level of 575,000 units. Three (3) meters of raw material are needed to produce each unit of finished product. REQUIRED: How many meters of raw material would be budgeted to be
Ramos Company...
Z2
Viko
2. Al Nebras Company has budgeted production for next year as follows: 1" Year QI Q2 Q3 Q4 Production in Units 30,000 40,000 50,000 60,000 Four pounds of material X are required for each unit produced. The company has a policy of maintaining a stock of material X on hand at the end of each quarter equal to 20% of the next quarter's production needs for material X. A total of 8,000 pounds of material X are on hand to start the year. Budgeted purchases of material A for the third quarter would be: A. 52,000 pounds В. 192,000 рounds C. 208,000 pounds D. 216,000 pounds
Please do not give solution in image format thanku