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Find budget direct material usage costs for second quarter

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Reference no: EM132510837

Donaldson Manufacturing Company's production budget requires the following units for the upcoming year:

1st quarter 4,000 units

2nd quarter 3,500 units

3rd quarter 3,000 units

4th quarter 5,000 units

Question 1: Each unit requires two kilograms of material. The material cost is $1.50 per kilogram. Donaldson intends to have beginning inventory equal to 10% of the current quarter's material needs. Budgeted direct material usage costs for the second quarter would be:

Option 1: $4,650

Option 2: $5,100

Option 3: $10,650

Option 4: $10,350

Reference no: EM132510837

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