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How much would be the budgeted purchases of materials in the second quarter?
1st Quarter 2nd Quarter 3rd Quarter
Required Production (units) 29,000 30,000 32,000
Multiplied by: Raw Materials Required Per Unit 4 4 4
Raw Material Units Required for Production 116,000 120,000 128,000
Add: Desired Ending Inventory 7,500 8,000 10,500
Total Materials Available for Use 123,500 128,000 138,500
Less: Raw Materials, Beginning Inventory - 7,500 8,000
Required Raw Materials to be Purchased 123,500 120,500 130,500
Multiplied by: Direct Material Cost per Unit 0.60 0.60 0.60
Budgeted Materials Purchased Cost Php 74,100.00 Php 72,300.00 Php 78,300.00
rent budget year.
e purchases during the quarter.
r to 10% of the sales for the next year.
2003
128,000
20,000
148,000
15,000
Php 133,000.00
After Discount (30%) Following Month (70%) Second Following Month (30%) Total
12,000 8,400 3,600 39,440
18,000 12,600 5,400 59,160
21,000 14,700 6,300 69,020
18,000 12,600 5,400 59,160
15,000 10,500 4,500 49,300
After Discount (30%) Following Month (70%) Second Following Month (30%) Total
12,000 8,400 3,600 39,440
18,000 12,600 5,400 59,160
21,000 14,700 6,300 69,020
18,000 12,600 5,400 59,160
15,000 10,500 4,500 49,300