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Each finished unit of merchandise Haw contains 1.25 cm of Material H. Budgeted sales of merchandise Haw in the period is 25,000 units. Budgeted data for the month of December are as follows:
31st December Finished goods 2,000 units
Opening inventory of raw materials 12,800 cm
Closing inventory of raw material 9,000 cm
Problem 1: What was the purchase of Material H?
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