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7.The production budget shows that expected unit sales are 40,000. The total required units are45,000. What are the required production units?a.5,000b.7,500c.10,000d.Cannot be determined from the data provided.
 8.The direct materials budget shows:Units to be produced3,000Total pounds needed for production12,000Total materials required13,200What are the direct materials per unit?
 9.The direct materials budget shows:Desired ending direct materials36,000 poundsTotal materials required54,000 poundsDirect materials purchases47,400 poundsThe total direct materials needed for production is
10.If the required direct materials purchases are 18,000 pounds, the direct materials required forproduction is three times the direct materials purchases, and the beginning direct materials arethree and a half times the direct materials purchases, what are the desired ending direct materialsin pounds?
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Chapter 8 / Exercise 8.31
Cornerstones of Cost Management
Hansen/Mowen
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b.9,000c.27,000d.18,000Solution:       Ending direct material = 18,000 + 18,000*(3.50 – 3.00)                                     = 27,000

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Term
Spring
Professor
Corrigan
Tags
Sales, Red Company, Sudler Production, Razmataz Company, Ceatric Inc
We have textbook solutions for you!
The document you are viewing contains questions related to this textbook.
Cornerstones of Cost Management
The document you are viewing contains questions related to this textbook.
Chapter 8 / Exercise 8.31
Cornerstones of Cost Management
Hansen/Mowen
Expert Verified

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