Coca-Cola Enterprises is the largest bottler of Coca-Cola in North America. The company purchases Coke and Sprite

Coca-Cola Enterprises is the largest bottler of Coca-Colaâ in North America. The company purchases Cokeâ and Spriteâ concentrate from The Coca-Cola Company, dilutes and mixes the concentrate with carbonated water, and then fills the blended beverage into cans or plastic two-liter bottles. Assume that the estimated production for Coke and Sprite two-liter bottles at the Dallas, Texas, bottling plant are as follows for the month of March:

Coke .... 214,000 two-liter bottles

Sprite ... 163,000 two-liter bottles

In addition, assume that the concentrate costs $80 per pound for both Coke and Sprite and is used at a rate of 0.2 pound per 100 liters of carbonated water in blending Coke and 0.15 pound per 100 liters of carbonated water in blending Sprite. Assume that two-liter bottles cost $0.08 per bottle and carbonated water costs $0.06 per liter.

Prepare a direct materials purchases budget for March 2010, assuming no changes between beginning and ending inventories for all three materials.