Rollin Parts, Inc. has the capacity to manufacture 400,000 units of a certain product line each year. Each unit of product requires 2 pounds of a metal that is difficult to obtain. The Sales Department estimates that 300,000 units of product can be sold next year. The Purchasing Department states that 30,000 pounds of the metal are on hand at the beginning of the year and that only 290,000 pounds can be purchased on the market next year. The Purchasing Department has found a company that is willing to produce 100,000 units of product on a contract basis. That company has enough of the required metal on hand to make the 100,000 units. 

Required: 

1. What is the limiting factor in budgeting next year? Why? 

2. How many units of the product can be produced internally and sold next year? 

3. What is the maximum forecast sales possible for next year?