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Kevin Co. manufactures leather briefcases and carryalls. Kevin's production manager has provided the following production budget. Each briefcase or carryall requires 1.2 yards of leather

Kevin Co. manufactures leather briefcases and carryalls. Kevin's production manager has provided the following production budget.

Each briefcase or carryall requires 1.2 yards of leather fabric and Kevin maintains an ending inventory of leather fabric equal to 25% of the next month's production needs.

Budgeted production

February 51200

March 43600

April 59100

May64900

June58100

If each yard of leather fabric costs $8.50, how much should Kevin budget for purchases of fabric in April?

  • $617610
  • $510170
  • $768315
  • $602820

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