Use the information below for july production to answer the question that follow. production estimates for july are as follows: estimated inventory (units), july 1 8,500 desired inventory (units), july 31 10,500 expected sales volume (units), july 76,000 for each unit produced, the direct materials requirements are as follows: direct material a ($5 per lb.) 3 lb. direct material b ($18 per lb.) ½ lb. the number of pounds of material a and material b required for july production is a.225,000 lb. of a; 37,500 lb. of b b.234,000 lb. of a; 39,000 lb. of b c.216,000 lb. of a; 72,000 lb. of b d.216,000 lb. of a; 36,000 lb. of b

Croy inc. has the following projected sales for the next five months: month sales in units april 3,850 may 3,875 june 4,260 july 4,135 august 3,590 croy’s finished goods inventory policy is to have 60 percent of the next month’s sales on hand at the end of each month. direct material costs $2.50 per pound, and each unit requires 2 pounds. raw materials inventory policy is to have 50 percent of the next month’s production needs on hand at the end of each month. raw materials on hand at march 31 totaled 3,741 pounds. 1. determine budgeted production for april, may, and june. 2. determine the budgeted cost of materials purchased for april, may, and june. (round your answers to 2 decimal places.)