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Daniel Inc. expects to sell 5,000 ceramic vases for $30 each in 2022 . Direct materiais costs are $2, direct manufacturing labour is $10, and
Daniel Inc. expects to sell 5,000 ceramic vases for $30 each in 2022 . Direct materiais costs are $2, direct manufacturing labour is $10, and manufacturing overhead is $3 per vase. Each vase requires 0.5klograms(kg) of material, which is all added at the start of production. The units in work-in-process beginning and ending inventory were half complete as to direct labour and manufacturing overhead costs; the units in beginning inventory are completed before new units are started. Each vase requires one hour of direct labour, and manufacturing overhead is allocated based on direct labour hours. The following inventory levels are expected to apply to 2022 : How many kilograms of material will need to be purchased for 2022 production and inventory requirements? A. 2,750kg B. 2,900kg C. 3,150kg D. 3,100kg E. 2,450kg
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