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Mate Boomerang Corporation manufactures and sells plastic boomerangs. Expected boomerang sales (in units) for the upcoming months are as follows:
July
Aug.
Sept.
Oct.
Nov.
Dec.
Expected unit sales
12,000
15,000
10,000
8,000
7,000
11,000
Seven ounces of plastic resin are needed to produce every boomerang. Mate likes to have enough plastic resin on hand at the end of the month to cover 25% of the next month's production requirements. Mate also likes to maintain a finished goods inventory equal to 10% of the next month's estimated sales.
Required:
How many ounces of plastic resin should Mate plan on purchasing during the month of October?
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