Wadi Aseeb Company produces curtains. The production budget in units for the next five months is: May 10,000 units, June 14,000, July 15,000, August 16,000, and September 18,000 units. Each curtain requires 5 meters of cotton fabric. The company's cotton fabric inventory policy for ending inventory is 40% of next month's production eeds. On May 1 the cotton fabric in stock was 20,000 meters. How much of the cotton fabric needs to be purchased ?for May in meters 84,000 .a O .None of the given answers .b O 77,000 .c O 72,000 .d C 58,000 .e O

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
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Chapter1: Financial Statements And Business Decisions
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Wadi Aseeb Company produces curtains. The production budget in units for the next five months is: May 10,000
units, June 14,000, July 15,000, August 16,000, and September 18,000 units. Each curtain requires 5 meters of
cotton fabric. The company's cotton fabric inventory policy for ending inventory is 40% of next month's production
needs. On May 1 the cotton fabric in stock was 20,000 meters. How much of the cotton fabric needs to be purchased
?for May in meters
84,000 .a
.None of the given answers .b O
77,000
.c O
72,000 d O
58,000 .e O
Transcribed Image Text:Wadi Aseeb Company produces curtains. The production budget in units for the next five months is: May 10,000 units, June 14,000, July 15,000, August 16,000, and September 18,000 units. Each curtain requires 5 meters of cotton fabric. The company's cotton fabric inventory policy for ending inventory is 40% of next month's production needs. On May 1 the cotton fabric in stock was 20,000 meters. How much of the cotton fabric needs to be purchased ?for May in meters 84,000 .a .None of the given answers .b O 77,000 .c O 72,000 d O 58,000 .e O
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