Merst Corporions budgeted production in units and budgeted r

Merst Corporions budgeted production in units and budgeted rew meterialis purcheses over the next three months are given below Budgeted rew manerias purchases pounds) Two Don sofreu, meerwsore reored to produce one unil ofprodot The compeny wants aw mawals on hand at the end ofeach month o0alto30% ofthe production needs. The compeny is expected to have 26,000 pounds of rew materias on hand on JBdgeted production for Februay should be montr O 91800 uins Multiple Cheice eaps leck confre option command

Solution

137,000 units Dear Student Thank you for using Chegg Please find below the answer Statementshowing Computations Paticulars January February March Budgeted production                94,000.00 x                 80,000.00 Pounds per unit                           2.00                        2.00                            2.00 Pounds required for budgeted production              188,000.00 2x               160,000.00 Add Ending raw materials =30%*Next month production needs .60x              48,000.00 Less Beginning raw materials= Ending of prev month              (26,000.00) -.60x               (48,000.00) Budgeted purchases              213,800.00           239,800.00               295,800.00 2x + 48000 - .60x = 239800 1.4x = 191,800 x = 137,000