The company wants to maintain monthly ending inventories of

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Walker, Inc. makes and sells a single product, widgets. Three pounds of wackel are needed to make one widget. Budgeted production of widgets for the next few months follows:

  • September 29,000 units
  • October 31,000 units

The company wants to maintain monthly ending inventories of wackel equal to 20% of the following month's production needs. On August 31, 9,000 pounds of wackel were on hand.

Instructions:
How much wackel should be purchased in September?

Reference no: EM13599538

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