Question
Teton Trails manufactures backpacks for adventurers. The backpacks come in two types: Daytripper, and Excursion. Teton anticipates the following production volumes Daytripper: 2,000 backpacks in
Teton Trails manufactures backpacks for adventurers. The backpacks come in two types: Daytripper, and Excursion. Teton anticipates the following production volumes
Daytripper: 2,000 backpacks in July, 2,200 backpacks in August
Excursion: 1,200 backpacks in July, 900 backpacks in August
Each Daytripper backpack requires 1 yard of 800 denier polyester fabric and each Excursion backpack requires 2 yards of 1200 denier polyester fabric. Tetons policy is to maintain ending inventories of each type of fabric at 10% of expected production needs for the next month.
What is the budgeted level of material purchases in July for both types?
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