Sarter Corporation is in the process of preparing its annual budget.The following beginning and ending inventory levels are planned for the year. Each unit of finished goods requires 3 grams of raw material.The company plans to sell 880,000 units during the year. How much of the raw material should the company purchase during the year?
A)2,550,000 grams
B)2,490,000 grams
C)2,480,000 grams
D)2,500,000 grams

Question

Sarter Corporation is in the process of preparing its annual budget.The following beginning and ending inventory levels are planned for the year.  Each unit of finished goods requires 3 grams of raw material.The company plans to sell 880,000 units during the year. How much of the raw material should the company purchase during the year?
A)2,550,000 grams 
B)2,490,000 grams 
C)2,480,000 grams 
D)2,500,000 grams

Quizplus · Accepted Answer

Production Budget:
 11eaa3fe_3285_514d_908b_7507e75dc652_TB2461_00 Materials Budget:
 11eaa3fe_3285_514e_908b_a71274759525_TB2461_00

Sarter Corporation Is in the Process of Preparing Its Annual