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Testbank Question 44: Planning Systems, Inc. has forecast the following unit sales and production for...

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Accounting

Testbank Question 44: Planning Systems, Inc. has forecast the following unit sales and production for the next year, by quarter:image

Testbank Question 44 Planning Systems, Inc. has forecast the following unit sales and production for the next year, by quarter: Production Sales 1st 150 120 2nd 160 140 3rd 140 150 4th 100 120 The firm has beginning inventories as follows: Finished goods Direct material A Direct material B 50 units 100 100 A finished unit requires one unit of material A and two units of material B. There should be enough material on hand at the end of each quarter to meet 20% of the next quarter's production needs. There are no work-in-process inventories. How much material A must be purchased in quarter 2? O 138 O 142 O o oo 156 162

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