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The Teddy Bear Company Manufactures Stuffed Bears

Question 82

Multiple Choice

The Teddy Bear Company manufactures stuffed bears. The number of bears to be produced in the upcoming three months follows: The Teddy Bear Company manufactures stuffed bears. The number of bears to be produced in the upcoming three months follows:    Each bear requires 2 pounds of the plastic pellets used as stuffing. The company has a policy that the ending inventory of plastic pellets each month must be equal to 20% of the following month's expected production needs. How many pounds of plastic pellets does The Teddy Bear Company need to purchase in August? A)  20,000 B)  24,000 C)  28,000 D)  40,000
Each bear requires 2 pounds of the plastic pellets used as stuffing. The company has a policy that the ending inventory of plastic pellets each month must be equal to 20% of the following month's expected production needs. How many pounds of plastic pellets does The Teddy Bear Company need to purchase in August?


A) 20,000
B) 24,000
C) 28,000
D) 40,000

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