Question
Victoria Corporation manufactures quality vases. Budgeted sales and production data for the vases are as follows: Month 1 budgeted unit sales 2 comma 4002,400 Month
Victoria Corporation manufactures quality vases. Budgeted sales and production data for the vases are as follows:
Month 1 budgeted unit sales | 2 comma 4002,400 |
Month 2 budgeted unit sales | 2 comma 3002,300 |
Month 3 budgeted unit sales | 3 comma 3003,300 |
Month 1 budgeted unit production | 2 comma 8002,800 |
Month 2 budgeted unit production | 3 comma 4003,400 |
Month 3 budgeted unit production | 3 comma 2003,200 |
Raw material required for each finished unit (in pounds) | 1 |
Each vase requires one pound of clay in its manufacture. Victoria Corporation has a policy that the inventory of clay at the end of each month needs to be equal to
3030 %
of the production needs for the following month. At the beginning of January,
840840
pounds of clay were in inventory. How many pounds of clay would Victoria Corporation need to purchase in February (Month 2)?
A.
2 comma 9802,980
B.
2 comma 7402,740
C.
3 comma 1403,140
D.
3 comma 3403,340
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