Question

The Porch Cushion Company manufactures foam cushions. The number of cushions to be produced in the upcoming three months​ follows:Number of foam cushions to be produced in July​13,000Number of foam cushions to be produced in August​19,000Number of foam cushions to be produced in September​12,000Each cushion requires 2 pounds of the foam used as stuffing. The company has a policy that the ending inventory of foam each month must be equal to​ 30% of the following​ month's expected production needs. How many pounds of foam does The Porch Cushion Company need to purchase in​ August?

Answer 1

Answer:

16,900

Explanation:

Ending Inventory = 30% x 12,000 = 3,600

Beginning Inventory = 30% x 19,000 =5,700

Thus;

19,000 + 3,600 – 5,700 = 16,900

Therefore the Porch Cushion Company need to purchase in​ August,900 pound of foam of Cushion.