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Please show all work 11. The Sun Company manufactures a special line of graphic tubing items. The company estimates it will sell 75,000 units of
Please show all work
11. The Sun Company manufactures a special line of graphic tubing items. The company estimates it will sell 75,000 units of this item in 2008. The beginning finished goods inventory contains 20,000 units. The target for each year's ending inventory is 10,000 units. Each unit requires five feet of plastic tubing. The tubing inventory currently includes 70,000 feet of the required tubing. Materials on hand are targeted to equal three month's production. Any shortage in materials will be made up by the immediate purchase of materials. Sales take place evenly throughout the year. What are the materials purchases (in feet) for 2008? a. 313,750 b. 336,250 c. 363,750 d. 386,250 14. Fravak Eng.'s production costs per unit are: DM $22 DL $30 MO $15 Sales are expected to be 5000 units in May. Inventories of finished goods are estimated at: May 1: 500 units valued at $35,000 May 31: 800 units What is the expected CGS for May? a. $316,400 b. $336,500 c. $373,700 d. Neither of the aboveStep by Step Solution
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