PLEASE HELP AND SHOW ALL CALCULATIONS PLEASE AM SUPER CONFUSED ...
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Accounting
PLEASE HELP AND SHOW ALL CALCULATIONS PLEASE AM SUPER CONFUSED
Yoder expects to produce units in January and units in February. The company budgets four pounds per unit of direct materials at a cost of $ per pound. Indirect materials are insignificant and not considered for budgeting purposes. The balance in the Raw Materials Inventory account all direct materials on January is pounds. Yoder desires the ending balance in Raw Materials Inventory to be of the next month's direct materials needed for production. Desired ending balance for February is pounds. Prepare Yoder's direct materials budget for January and February.
Begin by preparing the direct materials budget for January and February through total direct materials needed line and then complete the budget by calculating the budgeted cost of direct materials purchases.
tableYoder CompanyDirect Materials BudgetTwo Months Ended January and February Budgeted units to be producedDirect materials pounds per unitDirect materials needed for productionPlus: Desired direct materials in ending inventory poundsTotal direct materials neededLess: Budgeted purchases of direct materialsBirect materials cost per poundBudgeted cost of direct materials purchases
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