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Charm Enterprises production budget shows the following units to be produced for the coming three months: April May June Units to be produced 2,810 3,130
Charm Enterprises production budget shows the following units to be produced for the coming three months:
April | May | June | |||||
Units to be produced | 2,810 | 3,130 | 3,010 | ||||
A finished unit requires four ounces of a key direct material. The March 31 Raw Materials Inventory has 4,382 ounces (oz.) of the material. Each month's ending Raw Materials Inventory should be 35% of the following month's production needs. Materials purchases in May should be?
Multiple Choice
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12,352 oz.
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12,520 oz.
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8,138 oz.
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16,734 oz.
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8,306 oz.
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