Each electronic bicycle produced at East Mountain Bike requires two major parts (frame and tires) and an electronic subassembly from its suppliers as inputs. The following information is available:
|
Frame |
Tires |
Electronic subassembly |
|
|
Material per |
1 |
2 |
1 |
|
Unit cost |
$900 |
$30 |
$420 |
|
Beginning inventory |
1,100 |
2,000 |
950 |
|
Ending inventory |
2,500 |
3,200 |
1,800 |
Required:
Prepare the direct material budget for next year.