Prepare a direct materials purchasing plan for January, February, and March, based on the following facts. Lana Gonzales owns a business that assembles ceiling fan units. Each fan requires one motor system and four blades. Motors cost $45 each, and blades are $4.00 each. Lana is able to reliably obtain motors as needed, and does not maintain them in inventory. However, blades are stocked in inventory sufficient to produce 40% of the following month's expected production. Planned production is as follows: January 11,000 February 13,000 March 16,000 April 12,000 In accordance with the stocking plan, January's beginning inventory included 13,000 blades.

January cost $702,200

February cost $812,200

March cost $950,400

Total Purchase cost    

Particulars                     JanuaryFebruary  March

Purchase cost of blades$ 207,200.00$ 227,200.00$ 230,400.00

Purchase cost of motor$ 495,000.00$ 585,000.00$ 720,000.00

                                        $ 702,200.00$ 812,200.00$ 950,400.00

Explanation:

R.M budget - blades    

Particulars  JanuaryFebruaryMarchApril

Planned production  11000130001600012000

Blades req. per unit  4          4                 4                      4

Material req. for prod.44000520006400048000

Add:Desired ending inventory2080025600192000

Less:Beginning inventory  130002080025600

Net units of blades req.518005680057600

Cost per blade  $             4.00$             4.00$             4.00

Purchase cost of blades$ 207,200.00$ 227,200.00$ 230,400.00

R.M budget - motor    

Particulars  JanuaryFebruaryMarchApril

Planned production  11000130001600012000

Motor req. per unit  1111

Material req. for prod.11000130001600012000

Cost per motor  $           45.00$           45.00$           45.00

Purchase cost of motor$ 495,000.00$ 585,000.00$ 720,000.00

answer; /// i do believe the correct answer is (30,000);

answer; interviews;