Mariah is creating its budgets for next year. They expect production of 15995 units for Quarter 1 and 10352 units for Quarter 2 and the following requirements: Ending inventory of finished goods for each quarter should equal 25% of the next quarter's budgeted sales in units and 3 pounds of raw materials are required for each unit produced. The raw materials inventory at the end of each quarter should equal 10% of the next quarter's production needs in material. There are 8612 pounds of raw materials in inventory at the end of the current year.   What is the budgeted Raw Material purchases in pounds in the first quarter of next year?   Round ONLY your final answer to the nearest whole pound and enter as a positive number. Do NOT round intermediate calculations.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Mariah is creating its budgets for next year. They expect production of 15995 units for Quarter 1 and 10352 units for Quarter 2 and the following requirements: Ending inventory of finished goods for each quarter should equal 25% of the next quarter's budgeted sales in units and 3 pounds of raw materials are required for each unit produced. The raw materials inventory at the end of each quarter should equal 10% of the next quarter's production needs in material. There are 8612 pounds of raw materials in inventory at the end of the current year.

 

What is the budgeted Raw Material purchases in pounds in the first quarter of next year?

 

Round ONLY your final answer to the nearest whole pound and enter as a positive number. Do NOT round intermediate calculations.

 

Hint: Pounds NOT units

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