Doxy company is considering its forthcoming projections for budget purposes. Doxy's projected sales for next year, and beginning and ending inventory data are as follows: Såles Beginning inventory Desired ending inventory 50,000 units 4,000 units 8,000 units. The selling price is $40 per unit. Each unit requires four pounds of material which costs $6 per pound. The beginning inventory of raw materials is 12,000 pounds. The company wants to have 3,000 pounds of material in inventory at the end of the year. According to Doxys' production budget, how many units should be produced? O a. 54,000 O b. 46,000 O c. 62,000 O d. 38,000 O e. some other figure
Doxy company is considering its forthcoming projections for budget purposes. Doxy's projected sales for next year, and beginning and ending inventory data are as follows: Såles Beginning inventory Desired ending inventory 50,000 units 4,000 units 8,000 units. The selling price is $40 per unit. Each unit requires four pounds of material which costs $6 per pound. The beginning inventory of raw materials is 12,000 pounds. The company wants to have 3,000 pounds of material in inventory at the end of the year. According to Doxys' production budget, how many units should be produced? O a. 54,000 O b. 46,000 O c. 62,000 O d. 38,000 O e. some other figure
Principles of Cost Accounting
17th Edition
ISBN:9781305087408
Author:Edward J. Vanderbeck, Maria R. Mitchell
Publisher:Edward J. Vanderbeck, Maria R. Mitchell
Chapter7: The Master Budget And Flexible Budgeting
Section: Chapter Questions
Problem 1E: The sales department of Macro Manufacturing Co. has forecast sales for its single product to be...
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