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Ruiz Co provides the following sales forecast for the next four months: April May June July Sales (units) 580 660 610 700 The company wants to end each month with ending finished goods inventory equal to 30% of next month's forecasted sales. Finished goods inventory on April 1 is 174 units. Assume July's budgeted production is 610 units. In addition, each finished unit requires four pounds (lbs.) of raw materials and the company wants to end each month with raw materials Inventory equal to 30% of next month's production needs. Beginning raw materials inventory for April was 725 pounds. Assume direct materials cost $4 per pound. Prepare a production budget for the months of April, May, and June. RUIZ CO. Production Budget For April Mary, and June April Next month's budgeted sales (unit) 660 Ratio of inventory to future sales 30% May June 700 610 Required units of the production Units to be produced Prepare a direct materials budget for April, May, and June. (Round your intermediate calculations and final answers to the nearest whole dollar amount.) RUIZ CO. Direct Materials Budget For April May and June April May June Med for production) The production budget for Manner Company shows units to be produced as follows: July, 540; August, 600; and September, 460. Each unit produced requires two hours of direct labor. The direct labor rate is currently $16 per hour but is predicted to be $16.75 per hour in September Prepare a direct labor budget for the months July August, and September. MANNER COMPANY Direct Labor Budget For July, August, and September July August 540 600 September 460 units Budgeted production (units) Total labor hours needed Budgeted direct labor cost Blue Wave Co. predicts the following unit sales for the coming four months: September, 3,400 units; October, 4,800 units; November, 6,500 units; and December, 8,600 units. The company's policy is to maintain finished goods inventory equal to 60% of the next month's sales. At the end of August, the company had 3,100 finished units on hand, Prepare a production budget for each of the months of September October, and November Blue Wave Co Production Budget September October and November September October Next month's budgeted sales (units) November % 0 0 0 Units to be produced 0 0 0

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