4. Paradise Corporation budgets on an annual basis for its fiscal year. The following beginning and ending inventory levels (in units) are planned for next year. Raw material Finished goods Beginning Inventory 30,000 70,000 Ending Inventory 40,000 60,000 Three pounds of raw material are needed to produce each unit of finished product If Paradise Corporation plans to sell $10,000 units during next year, the number of units it would have to manufacture during the year would be: A) 500,000 units B) 520,000 units C) 510,000 units D) 570,000 units 5. The Jung Corporation's production budget calls for the following number of units to be produced each quarter for next year: Quarter 1 Quarter 2 Quarter 3 Quarter 4 45,000 units 38,000 units 34,000 units 48,000 units Each unit of product requires three pounds of direct material. The company's policy is to begin each quarter with an inventory ofdirect materials equal to 30% of that quarter's direct material requirements. Budgeted direct materials purchases for the third quarter would be A) 114,600 pounds B) 89,400 pounds C) 38,200 pounds D) 29,800 pounds