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Zortek Corporation budgets production of 460 units in January and 300 units in February. Each finished unit requires six pounds of material Z, which costs
Zortek Corporation budgets production of 460 units in January and 300 units in February. Each finished unit requires six pounds of material Z, which costs $3 per pound. Each months ending inventory of material Z should be 30% of the following months budgeted production. The January 1 inventory has 828 pounds of material Z. Prepare a direct materials budget for January.
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