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Perine company has 2000 pounds of raw materials in its

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Perine company has 2,000 pounds of raw materials in its December 31, 2013, ending inventory. Required productionf for January and February 2014 are 4,000 and 5,000 units, respectively. Two pounds of raw materials are needed for each unit, and the estimated cost per pound is $6. Management desires an ending inventory equal to 25% of next month's materials requirements.

Reference no: EM13600290

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