Question

Bridgette Widget Wonderworld has developed inventory budget in units: Direct Material Work in process Finished Goods...

Bridgette Widget Wonderworld has developed inventory budget in units:

Direct Material

Work in process

Finished Goods

April 1 April 30
Direct Material 40,000 50,000
Work in process 10,000 20,000
Finished goods 80,000 50,000

Three unit of direct material are needed to produce each unit of finished product. IF 350,000 complete units were to be produced in April. how many units of direct material

should be purchased?

Homework Answers

Answer #1
Direct Materials Budget
Production 350,000
Direct materials per unit 3
Direct materials needed for production 1,050,000
Ending inventory of direct materials 50,000
Total direct materials needed 1,100,000
Beginning inventory of direct materials -40,000
Direct materials purchases 1,060,000

Direct materials purchases for the month of April = 1,060,000 units

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