Question 19

Marst Corporation's budgeted production in units and budgeted raw materials purchases over the next three months are given below January February March 84,000 Budgeted production (in units) Budgeted raw materials purchases (in 70,800 ? 250,660 163,600 162,800 unds) Four pounds of raw materials are required to produce one unit of product. The company wants raw materials on hand at the end of each month equal to 20% of the following month's production needs. The company is expected to have 56,640 pounds of raw materials on hand on January 1 Budgeted production for February should be: Muitiple Choice 96,200 units 84,600 units 84,000 units 30,125 units