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Determine the direct materials purchases budget

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Direct Materials Purchases Budget

Marshall Inc. budgeted production of 49,000 personal journals in 20Y6. Paper is required to produce a journal. Assume 62 square yards of paper are required for each journal. The estimated January 1, 20Y6, paper inventory is 152,000 square yards. The desired December 31, 20Y6, paper inventory is 106,000 square yards.

Problem 1: If paper costs $0.15 per square yard, determine the direct materials purchases budget for 20Y6. If required, round your final answer to the nearest dollar.

Reference no: EM132902936

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