Lorenzos Frozen Pizza Inc. has determined from its production budget the following estimated production volumes...
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Lorenzos Frozen Pizza Inc. has determined from its production budget the following estimated production volumes for 12'' and 16'' frozen pizzas for September:
Units
12" Pizza
16" Pizza
Budgeted production volume
13,200
20,800
Three direct materials are used in producing the two types of pizza. The quantities of direct materials expected to be used for each pizza are as follows:
12" Pizza
16" Pizza
Direct materials:
Dough
0.80
lb. per unit
1.50
lb. per unit
Tomato
0.50
0.70
Cheese
0.70
1.30
In addition, Lorenzos has determined the following information about each material:
Dough
Tomato
Cheese
Estimated inventory, September 1
530
lb.
180
lb.
380
lb.
Desired inventory, September 30
560
lb.
170
lb.
410
lb.
Price per pound
$1.50
$2.70
$3.10
Prepare September's direct materials purchases budget for Lorenzos Frozen Pizza Inc. When required, enter unit prices to the nearest cent.
Lorenzos Frozen Pizza Inc. Direct Materials Purchases Budget For the Month Ending September 30
Dough
Tomato
Cheese
Total
Units required for production:
12" pizza
fill in the blank 1
fill in the blank 2
fill in the blank 3
16" pizza
fill in the blank 4
fill in the blank 5
fill in the blank 6
Less desired inventory, September 1Less desired inventory, September 30Less estimated inventory, September 1Plus desired inventory, September 30Plus estimated inventory, September 1
- Select -
- Select -
- Select -
Total pounds required
fill in the blank 11
fill in the blank 12
fill in the blank 13
Less desired inventory, September 1Less desired inventory, September 30Less estimated inventory, September 1Plus desired inventory, September 30Plus estimated inventory, September 1
- Select -
- Select -
- Select -
Total pounds to be purchased
fill in the blank 18
fill in the blank 19
fill in the blank 20
Unit price (per pound)
x $fill in the blank 21
x $fill in the blank 22
x $fill in the blank 23
Total direct materials to be purchased
$fill in the blank 24
$fill in the blank 25
$fill in the blank 26
$fill in the blank 27
Answer & Explanation
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