Keynes believed that the best method for boosting an economy during a recession was to a. increase money supply so that individuals would have more incentive to spend. b. cut government spending and increase taxes to reduce or even eliminate fiscal deficit. c. increase government spending and cut taxes so that consumers could spend more. d. cut both government spending and taxes to reduce government expenditure in the economy. e. increase both government spending and taxes to increase the role of government in the economy.

Croy inc. has the following projected sales for the next five months: month sales in units april 3,850 may 3,875 june 4,260 july 4,135 august 3,590 croy’s finished goods inventory policy is to have 60 percent of the next month’s sales on hand at the end of each month. direct material costs $2.50 per pound, and each unit requires 2 pounds. raw materials inventory policy is to have 50 percent of the next month’s production needs on hand at the end of each month. raw materials on hand at march 31 totaled 3,741 pounds. 1. determine budgeted production for april, may, and june. 2. determine the budgeted cost of materials purchased for april, may, and june. (round your answers to 2 decimal places.)