Question: Prepare a direct materials purchasing plan for January, February, and March, based on the following facts. Lana Gonzales owns a business that assembles ceiling fan
Prepare a direct materials purchasing plan for January, February, and March, based on the following
facts.
Lana Gonzales owns a business that assembles ceiling fan units. Each fan requires one motor system
and four blades. Motors cost $ each, and blades are $ each.
Lana is able to reliably obtain motors as needed, and does not maintain them in inventory. However,
blades are stocked in inventory sufficient to produce of the following month's expected production.
Planned production is as follows:
January
February
March
April
In accordance with the stocking plan, January's beginning inventory included blades
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