Purchases Budget

Blanchard Company budgets on an annual basis for its fiscal year. The following beginning and ending inventory levels (in units) are planned for the fiscal year of July 1, 2011, through June 30, 2012:

	July 1, 2011	June 30, 2012
Raw Materials *	40,000	50,000
Work in Process	10,000	10,000
Finished Goods	80,000	50,000

* Two units of raw material are needed to produce each unit of finished product.

If Blanchard Company were to manufacture 500,000 finished units during 2011-2012 fiscal year, how many units of raw material would it need to purchase?