ABC Company budgeted the following production in units for the second quarter of the year: April 50,000 May 43,000 June 47,000 Each unit requires five pounds of raw material. ABC's policy is to have 25% of the following month's production needs for materials in inventory. Raw materials purchases budgeted for May in pounds equal: O 209,130 pounds O 172,000 pounds O 220,000 pounds 156,250 pounds 210,000 pounds

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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ABC Company budgeted the following production in units for the second quarter of the year:
April
50,000
May
43,000
June
47,000
Each unit requires five pounds of raw material. ABC's policy is to have 25% of the following month's
production needs for materials in inventory. Raw materials purchases budgeted for May in pounds equal:
209,130 pounds
172,000 pounds
220,000 pounds
156,250 pounds
210,000 pounds
Transcribed Image Text:ABC Company budgeted the following production in units for the second quarter of the year: April 50,000 May 43,000 June 47,000 Each unit requires five pounds of raw material. ABC's policy is to have 25% of the following month's production needs for materials in inventory. Raw materials purchases budgeted for May in pounds equal: 209,130 pounds 172,000 pounds 220,000 pounds 156,250 pounds 210,000 pounds
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