How calculate each raw material seperately

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One kickboard requires 2 litre of resin oil and 3 litre of hardener, whereas one Pool Buoy requires 5 litre of resin and 2 litre of hardener. The price per litre for resin oil is $0.45 and $0.70 for price per litre of hardener. assuming:

For July, required units production of Kickboard and Pool buoy are 2000 and 1400 respectively. Aug: 2200 and 1500 respectively. Sep: 2540 and 1700 respectively.

Also given the ending inventory of 30 June is, 4000L resin, 6000L hardener, 600 units of kickboars and 500 units of pool buoys.

Problem 1: To be more specific is, do we calculate each raw material seperately or sum them "all in one" in the DIRECT MATERIAL BUDGET ?

Reference no: EM132639962

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