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Pearl Strand Company is planning to sell 4 0 0 buckets in October, 6 0 0 buckets in November, and 4 8 0 buckets in
Pearl Strand Company is planning to sell buckets in October, buckets in November, and buckets in December. Pearl's company policy is to have of next month's sales in ending finished goods inventory at end of any given month. At the beginning of October, Pearl was in compliance with the company policy.
Each bucket requires pound of plastic and hour of direct labor. Plastic costs $ per pound and employees of the company are paid $ per hour. Factory overhead is applied at a rate of of direct labor costs. Pearl keeps of next month's production needs on hand plastic and has this many pounds on hand at the beginning of October.
To be in compliance with company policy, Pearl will purchase pounds of plastic for October. Do not round
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