Question
Turbo Manufacturing plans to produce 20,000 units, 24,000 units, and 30,000 units, respectively, in October, November, and December. Each of these units requires four units
Turbo Manufacturing plans to produce 20,000 units, 24,000 units, and 30,000 units, respectively, in October, November, and December. Each of these units requires four units of part no. 879, which the company can purchase for $7 each. Turbo has 35,000 units of part no. 879 in stock on September 30.
Assume that the management desires to maintain an ending raw-material inventory equal to 40% of the following month's production usage.
Type in ONLY the NUMERICAL ANSWER in the answer box for the questions below:
1) The number of units of part No. 879 required to be purchased for the month of October =
2) The number of units of part No. 879 required to be purchased for the month of November =
3) The cash required to meet the purchase of part No. 879 for both Ocotber and November = $
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