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Pablo Company has budgeted production for next year as follows: Quarter First Second Third Fourth 62,000 82,000 92,000 72,000 Production in units Two pounds of

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Pablo Company has budgeted production for next year as follows: Quarter First Second Third Fourth 62,000 82,000 92,000 72,000 Production in units Two pounds of material A are required for each unit produced. The company has a policy of maintaining a stock of material A on hand at the end of each quarter equal to 30% of the next quarter's production needs for material A. A total of 32,000 pounds of material A are on hand to start the year. Budgeted purchases of material A for the second quarter would be: Multiple Choice 89,600 pounds. 170,000 pounds. 213,200 pounds. 219,200 pounds

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