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18 Pablo Company has budgeted production for next year as follows: Quarter First Second Third Fourth 45,000 84,000 94,000 74,000 Production in units Two pounds

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Pablo Company has budgeted production for next year as follows: Quarter First Second Third Fourth 45,000 84,000 94,000 74,000 Production in units Two pounds of material A are required for each unit produced. The company has a policy of maintaining a stock of material A on hand at the end of each quarter equal to 20% of the next quarter's production needs for material A. A total of 34,000 pounds of material A are on hand to start the year. Budgeted purchases of material A for the second quarter would be: Multiple Choice 201,600 pounds. 172,000 pounds. Multiple Choice 201,600 pounds. 172,000 pounds. 205.600 pounds. 63,800 pounds

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