Direct Materials Purchases Budget Langer Company produces plastic items, including plastic housings for humidifiers. Each...
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Direct Materials Purchases Budget Langer Company produces plastic items, including plastic housings for humidifiers. Each housing requires about 19 ounces of plastic costing $0.14 per ounce. Langer molds the plastic ins the proper shape. Langer has budgeted production of the housings for the next 4 months as follows Units July 3,500 August 4,400 September 4,900 October 6,300 Inventory policy requires that sufficient plastic be in ending monthly inventory to satisly 30 % of the following month's production needs The inventory of plastic at the beginning of Jluly equals exactly the amount needed to satisfy the inventory policy Required: Prepare a direct materials purchases budget for July, August, and September, showing purchases in units and in dollars for each month and in total. If required, round the total purchase cost to nearest whole value Langer Company Direct Materials Purchases Budget For July, August and September September Total July August 4.900 12800 Unts to be produced 3.500 4400 Deet materials per unt (ounces) 19 19 19 19 Production neds Deed ndoomey(ounm) Pev more Check My Workuses emanng Chek y Wrk October 6,300 Inventory policy requires that sufficient plastic be in ending monthly inventory to satisfy 30 % of the following month's production needs. The inventory of plastic at the beginnin equals exactly the amount needed to satisfy the inventory policy Required Prepare a direct materials purchases budget for July, August, and September, showing purchases in units and in dollars for each month and in total. If required, round the total pa cost to nearest whole value. Langer Company Direct Materials Purchases Budget For July, August and September September Total July August 3,500 4,400 4.900 12.800 Units to be produced 19 19 19 19 Direct materials per unt (ounces) Production needs Desired ending inventory (ounces) Total needs Less: Beginning inventory Direct materials to be purchaseed (ounces) 0.14 0.14 so.14 0.14 Cost per ounce Total purchase cos Oeck Hy Work5 moe Check My Work uses remainng


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