Answer:
952,583
Explanation:
Note: <u><em>The desired December 31 wax inventory is 14,300 pounds. If candle wax costs $1.80 per pound, determine the direct materials purchases budget for January </em></u><em>is the correct words</em>
<em />
Pasadena Candle Inc.
Direct Materials Purchases Budget
For the Year Ending December 31
Pounds of wax required for production:
Candles (775,000*11/16) 532,813
Add: Desired ending inventory, <u>14,300 </u>
December 31
Total units available 547113
Less :Estimated beginning inventory, <u>17,900</u>
January 1
Total pounds to be purchased
<u>529,213</u>
Total direct materials to be purchased = Total pounds to be purchased * Unit price
Total direct materials to be purchased = 529,213 * $1.80
Total direct materials to be purchased = 952,583
