Use the Tono Roberts Company manufactures home cleaning products. One of the pro

Question

Use the Tono Roberts Company manufactures home cleaning products. One of the products, Quickelean. requires 2 pounds of Material A and 5 pounds of Material B per unit manufactured. NM can be purchased from the supplier for $0.30 per pound and Material B can be purchased s0.50 per pound. The finished goods inventory on hand at the end of each month must be equal to 4,000 units plus 25% of the next month's sales. The raw materials inventory on hand at the end of each month (for either Material A or Material B) must be equal to 80% of the following month's production needs terial A 1 POINT 9. Assume that the production budget calls for 26,000 units of Quickclean to be 2 manufactured in June and 32,000 units of Quickclean to be manufactured in July. On May 31 there will be 41,600 pounds of Material A in inventory. The number of pour of Material A needed for production during June would be: A) 61,600 B) 51,200 C) 35,600 D) 52,000 8

Explanation / Answer

Calculate material A needed for production in june :

Raw material needed in june = (26000*2)+(32000*2*80%)-41600 = 61600

so answer is a) 61600

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