TB MC Qu. 8-63 Marst Corporation's budgeted production in units and ...

Marst Corporation's budgeted production in units and budgeted raw materials purchases over the next three months are given below:

	January			February		March
Budgeted production (in units)	72,000			?		90,000
Budgeted raw materials purchases (in pounds)	257,800			181,600		168,800

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 57,600 pounds of raw materials on hand on January 1. Budgeted production for February should be:

Garrison 16e Rechecks 2017-11-01

rev: 11_19_2018_QC_CS-148529

Multiple Choice

• 109,400 units

• 90,600 units

• 90,000 units

• 34,250 units