Cahuilla Corporation predicts the following sales in units for the coming four months: April May June July 330 Sales in units 370 390 330 Each month's ending finished goods inventory should be 30% of the next month's sales. March 31 finished goods inventory is 99 units. A finished unit requires five pounds of direct material B at a cost of $3.00 per pound. The March 31 Raw Materials Inventory has 290 pounds of B. Each month's ending Raw Materials Inventory should be 20% of the following month's production needs. The budgeted production for May is:

Principles of Accounting Volume 2
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Author:OpenStax
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Chapter7: Budgeting
Section: Chapter Questions
Problem 14PA: Total Pops data show the following information: New machinery will be added in April. This machine...
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306 units.
259 units.
487 units.
370 units.
376 units.
Transcribed Image Text:Multiple Choice 306 units. 259 units. 487 units. 370 units. 376 units.
Cahuilla Corporation predicts the following sales in units for the coming four months:
April May June July
Sales in units
330
370 390 330
Each month's ending finished goods inventory should be 30% of the next month's sales. March 31 finished goods inventory is 99 units. A finished unit requires five
pounds of direct material B at a cost of $3.00 per pound. The March 31 Raw Materials Inventory has 290 pounds of B. Each month's ending Raw Materials Inventory
should be 20% of the following month's production needs. The budgeted production for May is:
Transcribed Image Text:Cahuilla Corporation predicts the following sales in units for the coming four months: April May June July Sales in units 330 370 390 330 Each month's ending finished goods inventory should be 30% of the next month's sales. March 31 finished goods inventory is 99 units. A finished unit requires five pounds of direct material B at a cost of $3.00 per pound. The March 31 Raw Materials Inventory has 290 pounds of B. Each month's ending Raw Materials Inventory should be 20% of the following month's production needs. The budgeted production for May is:
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