Estimated sales of a product is 30000 units. Two kinds of raw materials P and Q are required for manufacturing the product. Each unit of the product requires 2 units of P and 4 units of Q. The estimated cost of the P and Q OMR 2 and OMR 3 respectively.  The estimated opening balance in the beginning of the next year: finished goods:  4000 units; P: 6000 units; Q: 10000 units.  The desirable closing balance at the end of the next year: finished product: 6000 units; P: 10000 units; Q: 12000 units. Which of the following shows the total cost of raw materials (OMR) to be purchased in Material Purchase Budget.   Select one: a. P = 162000 and Q = 181000 b. P= 136000 and Q= 390000 c. P = 124000 and Q = 324000 d. P = 134000 and Q = 334000

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
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Chapter1: Financial Statements And Business Decisions
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Estimated sales of a product is 30000 units. Two kinds of raw materials P and Q are required for manufacturing the product. Each unit of the product requires 2 units of P and 4 units of Q. The estimated cost of the P and Q OMR 2 and OMR 3 respectively. 

The estimated opening balance in the beginning of the next year: finished goods:  4000 units; P: 6000 units; Q: 10000 units. 

The desirable closing balance at the end of the next year: finished product: 6000 units; P: 10000 units; Q: 12000 units.

Which of the following shows the total cost of raw materials (OMR) to be purchased in Material Purchase Budget.

 

Select one:
a. P = 162000 and Q = 181000
b. P= 136000 and Q= 390000
c. P = 124000 and Q = 324000
d. P = 134000 and Q = 334000
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