Number of toys to be producedPrepare the direct materials

Number of toys to be produced

Prepare the direct materials budget by first calculating the total quantity needed, then complete the budget. Preston Industries Direct Materials Budget For the Months of January through March January February March Quarter Units to be produced Multiply by: Quantity of direct materials needed per unit Quantity needed for production Plus: Desired ending inventory of direct materials Total quantity needed Less: Beginning inventory of direct materials Quantity to purchase Multiply by: Cost per unit Total cost of direct material purchase Data Table\n

January. . . . .5,600

February. . . .4,500

March. . . . . .5,200

April. . . . . . . 4,000

 Prepare a direct materials budget for the first quarter that shows both the number of computer chips needed and the dollar amount of the purchases in the budget.