Quiz 4 Formulas

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Last updated 12:32 PM on 10/15/26
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9 Terms

1
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Production budget

Sales + Ending FG − Beginning FG

2
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Total units needed

Sales + Ending FG

3
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Desired ending FG inventory

Next month's sales × Inventory %

4
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Materials needed for production

Units produced × DM per unit

5
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Direct materials purchases

DM needed + Ending RM − Beginning RM

6
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Direct materials purchase cost

DM purchased × Price per unit

7
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Direct materials used cost

Units produced × DM per unit × Price

8
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Direct labor hours

Units produced × Hours per unit

9
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Direct labor cost

DL hours × Hourly wage