25. Masterson Company's budgeted production calls for 56,000 iters in April and 52.000 liters in May of a key raw material that costs $1.85 per liter. Each month's ending raw materials inventory should equal 30% of the following month's budgeted materials. The April 1 inventory for this material is 16,800 liters. What is the budgeted materials need in liters for April? A. 39,200 liters. B. 57,600 liters. C. 56,000 liters. D. 54,800 liters. E. 71,600 liters 26. The sales budget for Modesto Corp. shows that 20,000 units of Product A and 22,000 units of Product B are going to be sold for prices of $10 and $12, respectively. The desired ending inventory of Product A is 20% higher than its beginning inventory of 2,000 units. The beginning inventory of Product B is 2,500 units. The desired ending inventory of B is 3,000 units. Total budgeted sales of both products for the year would be: A. $42,000 B. $200,000. C. $464,000 D. $264,000. E. $500,000. 27. Standard costs are: A. Actual costs incurred to produce a specific product or perform a service. B. Preset costs for delivering a product or service under normal conditions. C. Established by the IMA. D. Rarely achieved. E. Uniform among companies within an industry