Question

Direct Materials Purchases Budget Anticipated sales for Safety Grip Company were 51,000 passenger car tires and...

Direct Materials Purchases Budget

Anticipated sales for Safety Grip Company were 51,000 passenger car tires and 15,000 truck tires. Rubber and steel belts are used in producing passenger car and truck tires according to the following table:

Passenger Car Truck
Rubber 27 lbs. per unit 63 lbs. per unit
Steel belts 3 lbs. per unit 8 lbs. per unit

The purchase prices of rubber and steel are $3.3 and $4.3 per pound, respectively. The desired ending inventories of rubber and steel belts are 48,000 and 10,000 pounds, respectively. The estimated beginning inventories for rubber and steel belts are 56,000 and 8,000 pounds, respectively.

Prepare a direct materials purchases budget for Safety Grip Company for the year ended December 31, 20Y9.

Safety Grip Company
Direct Materials Purchases Budget
For the Year Ending December 31, 20Y9
Rubber Steel Belts Total
Pounds required for production:
Passenger tires lbs. lbs.
Truck tires
Desired inventory, December 31, 20Y9
Total lbs. lbs.
Estimated inventory, January 1, 20Y9
Total units purchased lbs. lbs.
Unit price x $ x $
Total direct materials to be purchased $ $ $

Homework Answers

Answer #1
Safety Grip Company
Direct Materials Purchases Budget
For the Year Ending December 31, 20Y9
Rubber Steel Belts Total
Pounds required for production:
Passenger tires 1377000 153000
Truck tires 945000 120000
Desired inventory, December 31, 20Y9 48000 10000
Total 2370000 283000
Estimated inventory, January 1, 20Y9 56000 8000
Total units purchased 2314000 275000
Unit price 3.3 4.3
Total direct materials to be purchased 7636200 1182500 8818700
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
Direct Materials Purchases Budget Anticipated sales for Safety Grip Company were 56,000 passenger car tires and...
Direct Materials Purchases Budget Anticipated sales for Safety Grip Company were 56,000 passenger car tires and 17,000 truck tires. Rubber and steel belts are used in producing passenger car and truck tires as follows: Passenger Car Truck Rubber 31 lbs. per unit 72 lbs. per unit Steel belts 5 lbs. per unit 13 lbs. per unit The purchase prices of rubber and steel are $3.20 and $4.20 per pound, respectively. The desired ending inventories of rubber and steel belts are...
Direct Materials Purchases Budget Anticipated sales for Safety Grip Company were 39,000 passenger car tires and...
Direct Materials Purchases Budget Anticipated sales for Safety Grip Company were 39,000 passenger car tires and 12,000 truck tires. Rubber and steel belts are used in producing passenger car and truck tires according to the following table: Passenger Car Truck Rubber 26 lbs. per unit 61 lbs. per unit Steel belts 3 lbs. per unit 8 lbs. per unit The purchase prices of rubber and steel are $3.2 and $4.2 per pound, respectively. The desired ending inventories of rubber and...
Direct Materials Purchases Budget Anticipated sales for Safety Grip Company were 52,000 passenger car tires and...
Direct Materials Purchases Budget Anticipated sales for Safety Grip Company were 52,000 passenger car tires and 16,000 truck tires. Rubber and steel belts are used in producing passenger car and truck tires according to the following table: Passenger Car Truck Rubber 35 lbs. per unit 82 lbs. per unit Steel belts 3 lbs. per unit 8 lbs. per unit The purchase prices of rubber and steel are $3.5 and $4.6 per pound, respectively. The desired ending inventories of rubber and...
Anticipated sales for Safety Grip Company were 32,000 passenger car tires and 10,000 truck tires. Rubber...
Anticipated sales for Safety Grip Company were 32,000 passenger car tires and 10,000 truck tires. Rubber and steel belts are used in producing passenger car and truck tires as follows: Passenger Car Truck Rubber 28 lbs. per unit 65 lbs. per unit Steel belts 3 lbs. per unit 8 lbs. per unit The purchase prices of rubber and steel are $3.30 and $4.30 per pound, respectively. The desired ending inventories of rubber and steel belts are 30,000 and 7,000 pounds,...
Anticipated sales for Safety Grip Company were 74,000 passenger car tires and 22,000 truck tires. Rubber...
Anticipated sales for Safety Grip Company were 74,000 passenger car tires and 22,000 truck tires. Rubber and steel belts are used in producing passenger car and truck tires according to the following table: Passenger Car Truck Rubber 33 lbs. per unit 77 lbs. per unit Steel belts 3 lbs. per unit 8 lbs. per unit The purchase prices of rubber and steel are $3.4 and $4.5 per pound, respectively. The desired ending inventories of rubber and steel belts are 70,000...
Anticipated sales for Safety Grip Company were 39,000 passenger car tires and 12,000 truck tires. Rubber...
Anticipated sales for Safety Grip Company were 39,000 passenger car tires and 12,000 truck tires. Rubber and steel belts are used in producing passenger car and truck tires as follows: Passenger Car Truck Rubber 34 lbs. per unit 79 lbs. per unit Steel belts 4 lbs. per unit 10 lbs. per unit The purchase prices of rubber and steel are $3.10 and $4.10 per pound, respectively. The desired ending inventories of rubber and steel belts are 37,000 and 8,000 pounds,...
Anticipated sales for Sure Grip Tire Company were 47,000 passenger car tires and 14,000 truck tires....
Anticipated sales for Sure Grip Tire Company were 47,000 passenger car tires and 14,000 truck tires. Rubber and steel belts are used in producing passenger car and truck tires according to the following table: Passenger Car Truck Rubber 32 lbs. per unit 75 lbs. per unit Steel belts 7 lbs. per unit 18 lbs. per unit The purchase prices of rubber and steel are $3.4 and $4.5 per pound, respectively. The desired ending inventories of rubber and steel belts are...
Anticipated sales for Sure Grip Tire Company were 39,000 passenger car tires and 12,000 truck tires....
Anticipated sales for Sure Grip Tire Company were 39,000 passenger car tires and 12,000 truck tires. Rubber and steel belts are used in producing passenger car and truck tires according to the following table: Passenger Car Truck Rubber 27 lbs. per unit 63 lbs. per unit Steel belts 3 lbs. per unit 8 lbs. per unit The purchase prices of rubber and steel are $3.4 and $4.5 per pound, respectively. The desired ending inventories of rubber and steel belts are...
Sales, Production, Direct Materials Purchases, and Direct Labor Cost Budgets The budget director of Gourmet Grill...
Sales, Production, Direct Materials Purchases, and Direct Labor Cost Budgets The budget director of Gourmet Grill Company requests estimates of sales, production, and other operating data from the various administrative units every month. Selected information concerning sales and production for July is summarized as follows: a. Estimated sales for July by sales territory: Maine: Backyard Chef 310 units at $700 per unit Master Chef 150 units at $1,200 per unit Vermont: Backyard Chef 240 units at $750 per unit Master...
Direct Materials Purchases Budget Pasadena Candle Inc. budgeted production of 715,000 candles for the year. Wax...
Direct Materials Purchases Budget Pasadena Candle Inc. budgeted production of 715,000 candles for the year. Wax is required to produce a candle. Assume 14 ounces of wax is required for each candle. The estimated January 1 wax inventory is 16,100 pounds. The desired December 31 wax inventory is 12,700 pounds. If candle wax costs $1.20 per pound, determine the direct materials purchases budget for the year. (One pound = 16 ounces.) Round all computed answers to the nearest whole dollar....