Question
Swifty Corporation is planning to sell 1100 boxes of ceramic tile, with production estimated at 570 boxes during May. Each box of tile requires 44
Swifty Corporation is planning to sell 1100 boxes of ceramic tile, with production estimated at 570 boxes during May. Each box of tile requires 44 pounds of clay mix and a 0.50 hour of direct labor. Clay mix costs $0.40 per pound and employees of the company are paid $20 per hour. Manufacturing overhead is applied at a rate of 110% of direct labor costs. Swifty has 3200 pounds of clay mix in beginning inventory and wants to have 5500 pounds in ending inventory.
What is the total amount to be budgeted in pounds for direct materials to be purchased for the month?
50700
25080
22780
27380
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