Teton Trails manufactures backpacks for adventurers. The backpacks come in two types: Daytripper, and Excursion. Teton anticipates the following production volumes:
Each Daytripper backpack requires 1 yard of 800 denier polyester fabric and each Excursion backpack requires 2 yards of 1200 denier polyester fabric. Teton's policy is to maintain ending inventories of each type of fabric at 10% of expected production needs for the next month.
What is the budgeted level of material purchases in July for both types?
A) 2,020 yards of 800 denier polyester and 2,340 yards of 1200 denier polyester
B) 1,980 yards of 800 denier polyester and 2,460 yards of 1200 denier polyester
C) 2,020 yards of 800 denier polyester and 1,140 yards of 1200 denier polyester
D) 2,000 yards of 800 denier polyester and 2,400 yards of 1200 denier polyester
E) None of the above
Correct Answer:
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Q1: The first budget prepared is generally the
Q2: The first budget prepared is generally the
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