How much of the raw material should the company purchase

Reference no: EM13124010

Sarafiny Corporation is in the process of preparing its annual budget. The following beginning and ending inventory levels are planned for the year.

Beginning Inventory Ending Inventory
Finished goods (units) 20,000 30,000
Raw material (grams) 50,000 40,000

Each unit of finished goods requires 7 grams of raw material.

a. If the company plans to sell 270,000 units during the year, compute the number of units it would have to manufacture during the year.

b. How much of the raw material should the company purchase during the year?

Reference no: EM13124010

Questions Cloud

Illustrate yellow corporation charitable contributions : The stock, which trades on a regional stock exchange, has a $25,000 FMV on the contribution date. Illustrate what is Yellow Corporation’s charitable contributions deduction for the current year?

How long will it take for nobr to decompose : the rate constant for the second order -reaction is 2NOBr(g)------>2NO(g)+Br2(g) is 48 L/mol*min at a certian temperture. How long will it take for 90.0% of a .0200M solution of NOBr to decompose.

Systems of linear equations-general approach : Explain how you decide whether it is easier to solve a system by substitution or the elimination method. Response should be detailed and include an example

Construct the new production possibility curve : Calculate the opportunity cost of producing the first 15 houses and what is the marginal rate of substitution between houses and clothing production?

How much of the raw material should the company purchase : If the company plans to sell 270,000 units during the year, compute the number of units it would have to manufacture during the year.

If f is an automorphism of s 3 n then prove : If f is an automorphism of S_3, prove that there exists a sigma in S_3 such that f(tau)

Determining proofs in linear algebra : Please prove the following theorem: A system of linear equations has zero, one or infinitely many solutions; there are no other possibilities.

Determine average number of people waiting in line : Customers arrive at an automated coffee vending machine at a rate of 4 per minute, following a Poisson distribution. What is the average number of people waiting in line?

Systems of equations and inequalities : Timmy enjoys playing old-fashioned video games. He found 3 game systems on eBay and wants to purchase a Nintendo game system, an Atari game system, and a Sega arcade game system.

User Account

All Pages