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How much sand should be purchased in september

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Reference no: EM131725030

Question - Pitt Corp. makes and sells a single product, widgets. Two pounds of sand are needed to make one widget. Budgeted production of widgets for the next two months follows:

September25,000 unitsOctober31,000 units

The company wants to maintain monthly ending inventories of sand equal to 20% of the following month's production needs. On August 31, 10,000 pounds of sand were on hand.

How much sand should be purchased in September?

Reference no: EM131725030

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