MN Company estimates the sales for the coming months as follows:

January February March April

Sales (units) 10000 11000 12100 13310

Each unit requires 3 pounds of raw material

the cost of raw material $10 per pound

The company requires to have ending inventory for

raw material equals to 20% of the next month production. finished goods 10% of the next month sales

raw material finished goods

The beginning inventory on January. 10,000 2000

Determine the needed purchases of raw material for January

1. between 22,000 and 22,200

2. between 23,900 and 24,000

3. between 33,900 and 34,000

4.between 42,900 and 43,000