The following are budgeted data: One pound of material is required for each finished unit.The inventory of materials at the end of each month should equal 20% of the following month's production needs.Purchases of raw materials for February would be budgeted to be:
A)19,000 pounds
B)19,200 pounds
C)23,000 pounds
D)18,800 pounds

Question

The following are budgeted data:  One pound of material is required for each finished unit.The inventory of materials at the end of each month should equal 20% of the following month's production needs.Purchases of raw materials for February would be budgeted to be:
A)19,000 pounds 
B)19,200 pounds 
C)23,000 pounds 
D)18,800 pounds

Quizplus · Accepted Answer

Direct Materials Budget:
 11eaa3fe_326e_e3d6_908b_d7a7cc0a7ae2_TB2461_00

The Following Are Budgeted Data: One Pound of Material