Business, 05.05.2020 12:37 mariehayes099
Kenner Company produces two products: SR200 and TX500. Budgeted sales for four months are as follows:
SR200 TX500
May 8,000 20,000
June 13,000 32,000
July 11,000 39,000
August 18,000 46,000
Kenner's ending inventory policy is that SR200 should have 15% of next month's sales in ending inventory and TX500 should have 40% of next month's sales in ending inventory. On May 1, there were 1,200 units of SR200 and 9,000 units of TX500.
TX500 requires 6 units of Component A. (SR200 does not use Component A.) There were 30,000 units of Component A in inventory on May 1. Kenner wants to have 20% of the following month's production needs in inventory for Component A. What is the budgeted amount of Component A to be purchased in May?
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Kenner Company produces two products: SR200 and TX500. Budgeted sales for four months are as follows...
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