Reference no: EM132536276

Riding Corporation manufactures and sells electric cars.

Expected sales and production (in units) for the upcoming months of 2020 are as follows:

                                           October              November                December

Expected unit sales            8,000                    9,000                      10,000

Units to be produced          9,000                      10,000                  11,000

Question 1: 10 pounds of silver are needed to produce each car. Riding's policy has always been to have enough raw material on hand at the end of the month to cover 10% of the next month's production requirements. How many pounds of silver should Riding plan on purchasing during the month of October?

Group of answer choices

Option 1: None of other answers

Option 2: 100,000 pounds

Option 3: 90,000 pounds

Option 4: 91,000 pounds