Assume the sales budget for April and May is 48,000 units and 50,000 units, respectively. The production budget for the same two months is 45,000 units and 46,000 units, respectively. Each unit of finished goods required 3 pounds of raw materials. The company always maintains raw materials inventory equal to 20% of the following month's production needs. How many pounds of raw material need to be purchased in April

Purchases= 135,600 pounds

Explanation:

Giving the following information:

The production budget for the same two months is 45,000 units and 46,000 units, respectively.

Each unit of finished goods required 3 pounds of raw materials.

To calculate the purchases for April, we need to use the following formula:

Purchases= production + desired ending inventory - beginning inventory

Purchases= 45,000*3 + (46,000*3)*0.2 - (45,000*3)*0.2

Purchases= 135,000 + 27,600 - 27,000

Purchases= 135,600 pounds

answer; societal marketing;

answer; dividing net income by 1- t ;