Jamison Company expects to sell 42,000 units of finished goods during the next three-month period. The company

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Jamison Company expects to sell 42,000 units of finished goods during the next three-month period. The company has 22,000 units of finished goods on hand at the beginning of the three-month period and wishes to have an inventory of 24,000 units at the end of the three-month period. To produce one unit of finished goods requires four units of raw materials. The company has 100,000 units of raw materials on hand at the beginning of the three-month period and wishes to have an inventory of 110,000 units of raw materials on hand at the end of the three-month period. The company does not have, nor will it have, work-in-process inventory. How many units of raw materials must the Jamison Company purchase during the three month period?

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Managerial Accounting An Introduction to Concepts Methods and Uses

ISBN: 978-0324639766

10th Edition

Authors: Michael W. Maher, Clyde P. Stickney, Roman L. Weil

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