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Business, 06.05.2020 02:42 goodluck99

Cahuilla Corporation predicts the following sales in units for the coming four months: April May June July Sales in Units 410 450 470 410 Each month's ending Finished Goods Inventory should be 30% of the next month's sales. March 31 Finished Goods inventory is 123 units. A finished unit requires 5 pounds of direct material B at a cost of $2.00 per pound. The March 31 Raw Materials Inventory has 260 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:.a) 2,276 lbs. b) 452 lbs. c) 2,732 lbs. d) 1,824 lbs. e) 456 lbs.

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