Zira Co. reports the following production budget for the next four months. Production (units)
April
722
May
750
June
756
July
736
Each finished unit requires four pounds of raw materials and the company wants to end each month with raw materials inventory equal
to 30% of next month's production needs. Beginning raw materials inventory for April was 866 pounds. Assume direct materials cost
$6 per pound

cognitive overload: having a lot on your mind impairs decision-making and tends to result in the simplest, but not necessarily best, option being selected.

empathy gaps: overlooking how you might feel in a different situation can result in unnecessary purchases, such as overbuying when shopping for food on an empty stomach.

optimism and overconfidence: wearing rose-tinted glasses and having unrealistic expectations about the future can affect money management and leave you unprepared for a change in circumstance.

instant gratification: seeking instant gratification drives impulsive spending and can undermine long-term planning and savings.

harmful habits: automatic or mindless behaviour can amplify a poor financial decision as it becomes a recurring event.

social norms: we are heavily influenced by the actions of others; while this can be in certain circumstances, it also contributes to the pressure to keep up with the joneses through conspicuous consumption.

answerobservation;