L4u-6Vt Company produces a single product that requires three pounds of direct materials to make one...
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L4u-6Vt Company produces a single product that requires three pounds of direct materials to make one unit. Budgeted production of this product for the next three months is given below: Budgeted Units to be Produced 15,800 units 12,900 units 26,200 units June July August The company wants to maintain monthly ending inventories of direct materials that are equal to 60% of the following month's production needs. The cost of direct materials is $1.75 per pound. Calculate the total cost of direct materials budgeted to be purchased in July. L4u-6Vt Company produces a single product that requires three pounds of direct materials to make one unit. Budgeted production of this product for the next three months is given below: Budgeted Units to be Produced 15,800 units 12,900 units 26,200 units June July August The company wants to maintain monthly ending inventories of direct materials that are equal to 60% of the following month's production needs. The cost of direct materials is $1.75 per pound. Calculate the total cost of direct materials budgeted to be purchased in July.
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Related Book For
Managerial accounting
ISBN: 9780073526706
12th Edition
Authors: Ray H. Garrison, Eric W. Noreen, Peter C. Brewer
Posted Date:
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