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The Ralston Company manufactures a special line of graphic tubing items. The company estimates it will sell 95,000 units of this item in 2020.
The Ralston Company manufactures a special line of graphic tubing items. The company estimates it will sell 95,000 units of this item in 2020. The beginning finished goods inventory contains 40,000 units. The target for each year's ending inventory is 30,000 units. Each unit requires six feet of plastic tubing. The tubing inventory currently includes 100,000 feet of the required tubing. Materials on hand are targeted to equal 3 months' production. Any shortage in materials will be made up by the immediate purchase of materials. Sales take place evenly throughout the year, What are the materials requirements (in feet) for 2020? Multiple Choice 482,500. 537,500. 717,500.
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