Dynatech Industrial has estimated that production for the next five quarters will be: Production Information 1st quarter,
Question:
Dynatech Industrial has estimated that production for the next five quarters will be:
Production Information | ||
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1st quarter, 2020 | 36,000 units | |
2nd quarter, 2020 | 32,800 units | |
3rd quarter, 2020 | 39,200 units | |
4th quarter, 2020 | 30,400 units | |
1st quarter, 2021 | 37,600 units |
Finished units of production require 6 pounds of raw material per unit. The raw material cost is $7 per pound. There is $226,800 of raw material on hand at the beginning of the first quarter, 2020. Dynatech desires to have 15 percent of next quarter's material requirements on hand at the end of each quarter.
Prepare quarterly direct materials purchases budgets for Dynatech Industrial for 2020.
Dynatech Industrial | |||||||||||
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Quarter 1 | Quarter 2 | Quarter 3 | Quarter 4 | Year | |||||||
select an opening direct materials purchases budget item Units to be producedCost of raw material per unitDesired ending inventory of raw materialTotal material neededBeginning inventory of raw materialRequired raw material purchasesCost of raw material needed for production | enter a number of units | enter a number of units | enter a number of units | enter a number of units | enter a number of units | ||||||
select an item Units to be producedCost of raw material per unitDesired ending inventory of raw materialTotal material neededBeginning inventory of raw materialRequired raw material purchasesCost of raw material needed for production | $enter a dollar amount | $enter a dollar amount | $enter a dollar amount | $enter a dollar amount | $enter a dollar amount | ||||||
select a summarizing line for the first part Units to be producedCost of raw material per unitDesired ending inventory of raw materialTotal material neededBeginning inventory of raw materialRequired raw material purchasesCost of raw material needed for production | enter a total dollar amount for the first part | enter a total dollar amount for the first part | enter a total dollar amount for the first part | enter a total dollar amount for the first part | enter a total dollar amount for the first part | ||||||
select between addition and deduction AddLess: select an item Units to be producedCost of raw material per unitDesired ending inventory of raw materialTotal material neededBeginning inventory of raw materialRequired raw material purchasesCost of raw material needed for production | enter a dollar amount | enter a dollar amount | enter a dollar amount | enter a dollar amount | enter a dollar amount | ||||||
select a summarizing line for the second part Units to be producedCost of raw material per unitDesired ending inventory of raw materialTotal material neededBeginning inventory of raw materialRequired raw material purchasesCost of raw material needed for production | enter a total dollar amount for the second part | enter a total dollar amount for the second part | enter a total dollar amount for the second part | enter a total dollar amount for the second part | enter a total dollar amount for the second part | ||||||
select between addition and deduction AddLess: select an item Units to be producedCost of raw material per unitDesired ending inventory of raw materialTotal material neededBeginning inventory of raw materialRequired raw material purchasesCost of raw material needed for production | enter a dollar amount | enter a dollar amount | enter a dollar amount | enter a dollar amount | enter a dollar amount | ||||||
select a closing direct materials purchases budget item Units to be producedCost of raw material per unitDesired ending inventory of raw materialTotal material neededBeginning inventory of raw materialRequired raw material purchasesCost of raw material needed for production | $enter a total amount for the direct materials purchases budget |