Aurora Company manufactures and sells two models of watches, Polar and Universe. Itexpects to sell 3,250 units of Polar and 1,750 units of Universe in 2022. The followingestimates are given for 2022:PolarUniverse$500$200Selling priceDirect materials3070Direct labor50190Manufacturing overhead 60130Aurora had an inventory of 300 units of Polar and 115 units of Universe at the end of 2021. Ithas decided that as a measure to counter stock outages it will maintain ending inventory of400 units of Polar and 250 units of Universe.Each Universe watch requires two unit of CR01 and has to be imported at a cost of $15.There were 150 units of CR01 in stock at the end of 2021.The management does not want tohave any stock of CR01 at the end of 2022.What is the amount budgeted for purchase of CR01 in 2022? What is the amount budgeted for purchase of CR01 in 2022?A) $52,500B) $52,050C) $44,550D) $56,550

For Universe Watches:— Sales Unit = 1,750 Units of Beginning Inventory of Finished Goods = 115 Units…

Answered: What is the amount budgeted for…

Business

Accounting

What is the amount budgeted for purchase of CR01 in 2022?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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