Cullumber Ltd. estimates sales for the second quarter of 2022 will be as follows. Units Month April May June 2,120 2,300 The target ending inventory of finished products is as follows. March 31 April 30 May 31 June 30 2,280 2,690 2,790 2,500 2,560 Two units of materials are required for each unit of finished product. Production for July is estimated at 2,810 units to start building inventory for the fall sales period. Cullumber's policy is to have an inventory of raw materials at the end of each month equal to 50% of the following month's production requirements. Raw materials are expected to cost $4 per unit throughout the period. Calculate the May raw materials purchases in dollars. Raw material purchases cost Senter the raw material purchases cost in dollars

Cullumber Ltd. estimates sales for the second quarter of 2022 will be as follows. Units Month April May June 2,120 2,300 The target ending inventory of finished products is as follows. March 31 April 30 May 31 June 30 2,280 2,690 2,790 2,500 2,560 Two units of materials are required for each unit of finished product. Production for July is estimated at 2,810 units to start building inventory for the fall sales period. Cullumber's policy is to have an inventory of raw materials at the end of each month equal to 50% of the following month's production requirements. Raw materials are expected to cost $4 per unit throughout the period. Calculate the May raw materials purchases in dollars. Raw material purchases cost Senter the raw material purchases cost in dollars

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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