Each unit produced by Terra Electronics requires 4 pounds of raw materials. The raw materials inventory must be equal to 10% of the next month's production. Each pound of raw materials costs $2.00. Budgeted production information follows. $\begin{array}{ll}
\text { April } & 28,000 \text { units } \
\text { May } & 30,000 \text { units } \
\text { June } & 25,000 \text { units }
\end{array}$ How much are budgeted purchases of raw materials for May?

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The Answer of Each unit produced by Terra Electronics requires 4 pounds of raw materials. The raw materials inventory must be equal to 10% of the next month's production. Each pound of raw materials costs $2.00. Budgeted production information follows. $\begin{array}{ll}
\text { April } & 28,000 \text { units } \
\text { May } & 30,000 \text { units } \
\text { June } & 25,000 \text { units }
\end{array}$ How much are budgeted purchases of raw materials for May?

Each Unit Produced by Terra Electronics Requires 4 Pounds of Raw