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Snap, Inc, Provides the Following Data for the Next Four Months

Question 206

Essay

Snap, Inc., provides the following data for the next four months:
 April  May  June  Budgeted production units 442570544 Ending Raw Materials Inventory ...... 663 lbs.  Ending Finished Goods Inventory ...... 174 Units \begin{array} { | l | l | l | l } & \text { April } & \text { May } & \text { June } \\\hline \text { Budgeted production units } & 442 & 570 & 544 \\\hline \text { Ending Raw Materials Inventory ...... } & 663 \text { lbs. } & & \\\hline \text { Ending Finished Goods Inventory ...... } & 174 \text { Units } & &\end{array} Desired Ending Inventory:
Raw Materials = 30% of next month's production needs Pounds of raw material required for each finished Unit = 5 lbs.
Required:
Calculate the amount of purchases of raw materials in pounds for April and May.

Correct Answer:

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