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Question - Rhett Corporation manufactures and sells dress shirts. Each shirt (unit) requires 4 yards of cloth. Selected data from Rhett's master budget for next quarter are shown below:
April
May
June
Budgeted sales (in units)
31,500
36,800
36,100
Budgeted production (in units)
31,800
33,200
44,100
Desired ending inventory of cloth (in yards)
4,890
4,770
4,920
Required - How many yards of cloth should Rhett plan on purchasing in May?
a. 120,680 yards
b. 132,680 yards
c. 137,690 yards
d. 137,570 yards
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