Zortek Corp. budgets production of 340 units in January and 210 units in February. Each finished unit
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Question:
Zortek Corp. budgets production of 340 units in January and 210 units in February. Each finished unit requires two pounds of raw material Z, which costs $3 per pound. Each months ending inventory of raw materials should be 30% of the following months budgeted production. The January 1 raw materials inventory has 150 pounds of Z. Prepare a direct materials budget for January. |
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