Time Limt 02 0000 Subemt Test This Question 1 pt 29 of 40 21

Time Limt 02 0000 Subemt Test This Question: 1 pt 29 of 40 (21 compkete) This Test: 40 pls possibi Beritre Manufachaing expects to produce 2,600 units in nsigniicant and will therefore not be considered in the calodation. The Janaary and 3,000 units in Fetruary Beridze budgsts 550 per unit for drect materiaks. The a amount of indirect materials needed for production has been determined to be r the Raw Mal rials ?rventry aantrf (all dood materiab) on January,n$M250 floored skes he ming bdece in Raw Materials Inve day to of the next month\'s dred materials needed for production Desiredandng balaren for Fetruary is50. 400 what is cost e\' tokgeted purchases of direct materials needed \'or Janus O A $156,750 OB$130,000 O C. $186,750 O D $225.000

Solution

Calculate raw material purchase in january :

Raw material purchase in january = (2600*50)+(3800*50*50%)-38250 = 186750

So answer is c) $186750