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Business, 21.04.2020 15:47 angelaencinas90

Cahuilla Corporation predicts the following sales in units for the coming four months: April May June July Sales in Units 350 390 410 350 Each month's ending Finished Goods Inventory should be 30% of the next month's sales. March 31 Finished Goods inventory is 105 units. A finished unit requires 5 pounds of direct material B at a cost of $3.00 per pound. The March 31 Raw Materials Inventory has 200 pounds of B. Each month's ending Raw Materials Inventory should be 20% of the following month's production needs. The budgeted purchases of pounds of direct material B during May should be: Multiple Choice 1,976 lbs. 396 lbs. 2,372 lbs. 392 lbs. 1,584 lbs.

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