Answer and explanation:
<em>check the attached file for a well formatted answer</em>
The purchase budget for the month of Mar 2012 is asked. Also there are no changes in beginning and closing inventories. The data given is summarised as below,
Brand 1	Brand 2
Bottle size	2 lit	2 lit
Number of bottles	106000	81000
Concentrate cost	$85 per pound
Concentrate used	0.15 lb per 100 lit	0.2 lb per 100 lit
Carbonated water used	2 lit	2 lit
Bottle cost	$0.1 per bottle
Carbonated water cost	$0.08 per litre
Based on this the budget is filled as below,
CONCENTRATE	2-LITRE BOTTLES	CARBONATED WATER
Brand 1 (A)  
318 lbs
[=106000*2/100*0.15 lbs]
106000 bottles  
212000 litres
[106000 bottles * 2 litres]
Brand 2 (B)  
324 lbs
[=81000*2/100*0.2 lbs]
81000 bottles  
162000
[81000 bottles * 2 litres]
Total Materials (C=A+B)	642 lbs	187000 bottles	374000 litres
Direct materials unit price (D)	$ 85	$ 0.1	$ 0.08
Total direct materials to be purchased (E=C*D)	$54570	$18700	$29920