$($Click the icon to view additional information.$)$ The company wants to have $20\%$ of the polypropylene required for next month's production on hand at the end of each month. The polypropylene costs $$0\mathrm{.}10$ per pound.

Read the requirements.

Production Budget

For the Months of January through March

$\backslash$table$[[,$January,February,March,Quarter$],[$Unit sales,$3,600,3,400,3,200,10,200],[$Plus: Desired ending inventory,$850,800,1,200,1,200],[$Total needed,$4,450,4,200,4,400,11,400],[$Less: Beginning inventory,$900,850,800,900],[$Units to produce,$3\mathrm{.}550,3,350,3,600,10,500]]$

Requirement $2.$ Prepare a direct materials budget for the polypropylene for each month in the first quarter of the year, including the pounds of polypropylene required and the total cost of the polypropylene to be purchased.

Start by preparing the direct materials budget through the total quantity needed, then complete the budget

Johnson Manufacturing

Direct Materials Budget

For the Months of January through March

$\backslash$table$[[4.,$January,February,March,Quarter$],[$Units to be produced,$3,550,3,350,3,600,10,500],[$Multiply by: Quantity of direct materials needed per unit,$3,3,3,3],[$Quantity needed for production,$10,650,10,050,10,800,31,500],[$Total quantity needed,$2,010,2,160,2,760,2,760],[12,660,12,210,13,560,34,260],[$Less: Beginning inventory of direct materials$],[\backslash$table$[[$Quantity to purchase$],[$Multiply by: Cost per pound$]],,,$c$,$D$],[0\mathrm{.}10,0\mathrm{.}10,0\mathrm{.}10,0\mathrm{.}10],[$Total cost of direct material purchases,,,,$]]$

Data table

$\backslash$table$[[$Number of planters to be sold$],[$January $......,3,600],[$February $.....,3,400],[$March$.........,3,200],[$April$...,4,800],[$May $.........,4,000]]$