loader  Loading... Please wait...

Question(s) / Instruction(s):

Zeta Co. makes and sells T-shirts. It takes three meters of Material A to make one T-shirt. Budgeted production for the next three months is as follows:

August                  14,000 units

September         15,500 units

October               11,900 units

The company wants to maintain monthly ending inventories of Material A equal to 20% of the following month’s production needs. On July 31, 2,000 meters of Material A were on hand. The cost of Material A is $0.80 per meter. The company wishes to prepare a direct materials budget for the last quarter.

What is the desired ending inventory of Material A for the month of September?

a.            3,100 meters

b.            7,140 meters

c.             8,400 meters

d.            9,300 meters

Find Similar Answers by Subject


Student Reviews

Rate and review your solution! (Please rate on a Scale of 1 - 5. Top Rating is 5.)


Expert's Answer
Download Solution:
$1.79

This solution includes:

  • Plain text
  • Cited sources when necessary
  • Attached file(s)
  • Solution Document(s)

You Recently Viewed...



Reach Us

408-538-8534

20-3582-4059

39-008-4233

+1-408-904-6494