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Q.4. Bentsen Corporation makes one product. Budgeted unit sales July8,500August9,000September13,900October11,100 The ending finished goods inventory equals 40% of the following month's sales. The ending raw
Q.4. Bentsen Corporation makes one product. Budgeted unit sales July8,500August9,000September13,900October11,100 The ending finished goods inventory equals 40% of the following month's sales. The ending raw materials inventory equals 10% of the following month's raw materials production needs. Each unit of finished goods requires 6 pounds of raw materials. The raw materials cost $2.00 per pound. If 76,680 pounds of raw materials are required for production in September, What would be budgeted purchases of raw materials for August? ( 30 points) Budgeted sales in units Desired ending inventory Total needs Beginning inventory Required production Required production in units of finished goods Units of raw materials needed per unit of finished goods Units of raw materials needed to meet production Add desired units of ending raw materials inventory Total units of raw materials needed Less units of beginning raw materials inventory Units of raw materials to be purchased
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