Number of pounds of raw materials

Assignment Help Managerial Accounting

Reference no: EM1347890

Pelican Co. is forecasting sales of 40,300 units of product for October. To make one unit of finished product, 10 pounds of raw materials are required. Actual beginning and desired ending inventories of raw materials and finished goods are:

October 1(Actual) October 31 (Desired)
Raw materials (pounds) 48,550 44,300
Finished goods (units) 3,850 5,400

a) Compute the number of units of product to be produced during October.

b) Compute the number of pounds of raw materials to be purchased during October.

Reference no: EM1347890

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