Calculate the dollar amount of direct materials

Assignment Help Accounting Basics
Reference no: EM131652221

Problem - ZZ, Inc. has budgeted sales for the next five months as follows:

                                Budgeted Sales in Units

January               12,000 units

February             15,000 units

March                 11,000 units

April                       22,000 units

May                       18,000 units

ZZ, Inc. used the following information in creating its master budget for the year:

1. Ending finished goods inventory for each month should be equal to 10% of the next month's expected sales in units.

2. Ending direct materials inventory for each month should be equal to 25% of  the next month's production needs.

3. Each unit produced requires 4 pounds of direct materials.

4. Direct materials are purchased for $2.75 per pound.

Required - Calculate the dollar amount of direct materials to be purchased in January. Do not use decimals in your answer.

Reference no: EM131652221

Questions Cloud

Discuss structuralism is a more solid methodology : With regards to A history of Modern Psychology. locate an article that addresses structuralism, functionalism, or both.
Write static recursive function : Write static recursive function named "sum" that computes and returns the sum of all numbers from 1 to n (where n can be assumed to be is positive).
Java programming assignment : Define a class representing an inflatable balloon. Balloon should have a method inflate( ) (which can be called many times) and a maximum inflation pressure.
Calculate the total fixed costs incurred by jackson company : Calculate the total fixed costs incurred by Jackson Company during the most recent month. Do not use decimals in your answer
Calculate the dollar amount of direct materials : Required - Calculate the dollar amount of direct materials to be purchased in January. Do not use decimals in your answer
Identify the most appropriate federal funding source : Create a small budget for a hypothetical state program based on priority health concerns from Healthy People 2020 - solid academic writing is expected
Discuss psychology and the legal system : Ethical issues can arise between psychology and the legal system. What are some examples of ethical issues arising between these two entities
Discuss what are your ethical and legal obligations : comfortable dealing with them due to past negative feelings from childhood. What are your ethical and legal obligations
What proportion of eighth graders completes the assessment : Assume that the amount of time (in minutes) for eighth graders to compete an assessment examination is 78 minutes with a standard deviation of 12 minutes.

Reviews

Write a Review

Accounting Basics Questions & Answers

  Making differential analysis report

Prepare a differential analysis report, dated April 21 of the current year, on the proposal to sell at the special price.

  Michaels company segments its income statement into its

michaels company segments its income statement into its east and west divisions. the companys overall sales

  Difference between accrual-cash accounting

Write a 200- to 300-word paragraph answering the following questions: What is the difference between accrual and cash accounting?

  A companys beginning work in process inventory consisted of

a companys beginning work in process inventory consisted of 20000 units that were 15 complete with respect to direct

  Identify and describe several types of financial information

Identify and describe several types of financial information that would be more appropriate for Greg to review when evaluating the performance of segment managers.

  Calculate mandy final tax liability

calculate Mandy's final tax liability in Australia Assume that Mandy has continued to pay her Australian private health insurance premiums while overseas

  Compute the total factor productivity measures for year

As the cost accounting manager at Cambria Chemicals (CC), Compute the total factor productivity measures for year 1 and year 2 based on the three inputs

  Record depreciation for two months on the equipment and

record depreciation for two months on the equipment and office furniture by nicole in the following transaction. there

  The lease qualifies as a capital lease to brand

Ten annual payments of $55,000 (including executory costs) beginning January 1, 2011, the inception of the lease and each December 31 thereafter through 2019.

  Distinct opinion of others within the first

People usually form a distinct opinion of others within the first _______ of meeting them.

  Should the company produce a special order for 3000 units

a corporation has the following budgeted operating results for 2012revenues 10000 units at 50 500000variable

  Basics of constructive receipt income

Which of the following is not considered "constructive receipt" income in 2010:

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd