The production budget for Juno & Jones, Inc. shows the company expects to produce 450 units in the first quarter and 670 units in the second quarter. Each unit will require 11 pounds of direct materials at a cost of $2.00 per pound. The company prefers to maintain raw materials inventory equal to 40% of the next quarters materials needs. Prepare a production budget for the first quarter. Juno & Jones, Inc. Direct Materials Budget First Quarter Budgeted units to be produced Pounds of materials required per unit Total pounds of materials needed in production Plus desired ending inventory in pounds Total direct materials needed Less pounds of materials in beginning inventory Total Pounds of Direct Materials to be purchased Cost of materials per pound Total cost of materials to be purchased Direct Materials cost per unit

The production budget for Juno & Jones, Inc. shows the company expects to produce 450 units in the first quarter and 670 units in the second quarter. Each unit will require 11 pounds of direct materials at a cost of $2.00 per pound. The company prefers to maintain raw materials inventory equal to 40% of the next quarters materials needs. Prepare a production budget for the first quarter. Juno & Jones, Inc. Direct Materials Budget First Quarter Budgeted units to be produced Pounds of materials required per unit Total pounds of materials needed in production Plus desired ending inventory in pounds Total direct materials needed Less pounds of materials in beginning inventory Total Pounds of Direct Materials to be purchased Cost of materials per pound Total cost of materials to be purchased Direct Materials cost per unit

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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