Prepare a direct material budget for the following product sold by Almond Delights Use the information provided below Ho

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Prepare a direct material budget for the following product sold by Almond Delights
Use the information provided below
How many lbs of almonds are needed per quarter and how much will they cost?
Product: box of 24 almond cookies (Material – almonds)
Units to be produced per quarter: see chart below (as per the production budget)
Quantity of almonds per box of cookies: 1.2lbs
Each lb of almonds costs $ 1.25
Beginning inventory in quarter 1 is 10,000lbs
Desired inventory 10%
Note it takes other materials to make the almond cookies (ex: sugar, flour etc.)
Q1
Q2
Q3
Q4
Year
Units to be produced
200,000
257,000
220,000
305,000
X Quantity of raw material needed perunit (ln lbs)
= Production needs in lbs
+ Desired ending inventory of raw material
15,000
15,000
= Total needs
10,000
10,000
Raw materials to be purchased
Cost of raw materials (per lb)
Cost of raw materials to be purchased