Charm Enterprises' production budget shows the following units to be produced for the coming three months:
A finished unit requires four ounces of a key direct material.The March 31 Raw Materials inventory has 2,560 ounces (oz. ) of the material.Each month's ending Raw Materials inventory should be 35% of the following month's production needs.The materials to be purchased during May should be:
A) 11,352 oz.
B) 11,520 oz.
C) 7,448 oz.
D) 15,384 oz.
E) 7,616 oz.
Correct Answer:
Verified
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