The number of kilograms of raw materials that should be purchased next month is: Each unit of product AB requires 3 kg of raw material. Next month's productionbudget for product AB is as follows.Opening inventories:Raw materialsFinished units of ABBudgeted sales of AB15,000 kg2,000 units60,000 unitsPlanned closing inventories:Raw materialsFinished units of AB7,000 kg3,000 units

Answered: ories: of AB s of AB 15,000 kg 2,000…

Business

Accounting

ories: of AB s of AB 15,000 kg 2,000 units 60,000 units

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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Question

The number of kilograms of raw materials that should be purchased next month is:

Each unit of product AB requires 3 kg of raw material. Next month's production
budget for product AB is as follows.
Opening inventories:
Raw materials
Finished units of AB
Budgeted sales of AB
15,000 kg
2,000 units
60,000 units
Planned closing inventories:
Raw materials
Finished units of AB
7,000 kg
3,000 units

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