XYZ Company is preparing its direct materials budget. Budgeted production for January, February, March, and April...
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XYZ Company is preparing its direct materials budget. Budgeted production for January, February, March, and April are 5000 units, 7000 units, 6500 units, and 8000 units, respectively. To produce one unit of finished product, three kilograms of direct materials are needed. Direct materials inventory at the beginning of any month should be 20% of that month's production needs. Each kilogram of direct material costs the company $20. What is the total cost of direct materials to be purchased in February? Select one: Oa. None of the given answers Ob. $393,300 O c $372.600 Od. $351.900 Oe. $414,000 XYZ Company is preparing its direct materials budget. Budgeted production for January, February, March, and April are 5000 units, 7000 units, 6500 units, and 8000 units, respectively. To produce one unit of finished product, three kilograms of direct materials are needed. Direct materials inventory at the beginning of any month should be 20% of that month's production needs. Each kilogram of direct material costs the company $20. What is the total cost of direct materials to be purchased in February? Select one: Oa. None of the given answers Ob. $393,300 O c $372.600 Od. $351.900 Oe. $414,000
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Month January February March Direct materials needed 5000315000 ... View the full answer
Related Book For
Financial Accounting an introduction to concepts, methods and uses
ISBN: 978-0324789003
13th Edition
Authors: Clyde P. Stickney, Roman L. Weil, Katherine Schipper, Jennifer Francis
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