chapter 9

This Quiz: 5 pts possible This Question: 1 pt 4 of 5 (0 complete) Gable Industries manufactures a popular interactive stuffed arimal for chidren that requires four computer chips inside each toy The company pays $2 for aach computer chip. To help to guard against stockouts of the computer chip, Gable Industries has a policy that states that the ending inventory of computer chips should be at least 30 % of the following month's production needs. The production schedule for the first four months of the year is as foilows: (Click the icon to view the production schedule.) Requirement Propare a direct materials budget for the frst quaner that shows both the number of computer chips needed and the dolar amount of the purchases in the budget Prepare the direct materials budget by first caiculating the total quantity needed, then complete the budget Gable Industries Direct Materials Budget For the Months of January through March January February March Quarter Data Table Units to be produced Multiply by Quantity of direct materiels needed per unit Stuffed animals to be produced Quantity needed for production January 5,700 Ptus: Desired ending inventory of direct materials February 4,900 Total quantity needed March 4,000 Less: Beginning inventory of direct materials 4600 Ap Quantity to purchase Mutiply by: Cost per unit Print Done Total cost of direct material purchases Enter any number in the edit fieids and then continue to the next