EX $8-11$ Direct materials purchases budget

Obj. $4$

Anticipated sales for Safety Grip Company were $42,000$ passenger car tires and $19,000$ truck tires. Rubber and steel belts are used in producing passenger car and truck tires as follows:

$\backslash$table$[[,$Passenger Car,Truck$],[$Rubber$,35$ lbs$.$ per unit,$78lbs.$ per unit$],[$Steel belts,$5$ lbs$.$ per unit,$8lbs.$ per unit$]]$

The purchase prices of rubber and steel are $$1\mathrm{.}20$ and $$0\mathrm{.}80$ per pound, respectively. The desired ending inventories of rubber and steel belts are $40,000$ and $10,000$ pounds, respectively. The estimated beginning inventories for rubber and steel belts are $46,000$ and $8,000$ pounds, respectively. Prepare a direct materials purchases budget for Safety Grip Company for the year ended December $31,20$ Y$9.$