Question

Bramble Corp. required production for June is 222000 units. To make one unit of finished product, three pounds of direct material Z are required. Actual beginning and desired ending inventories of direct material Z are 390000 and 420000 pounds, respectively. How many pounds of direct material Z must be purchased

Answer 1

Answer:

Purchases=  696,000 pounds

Explanation:

Giving the following information:

Production= 222,000 units.

To make one unit of a finished product, three pounds of direct material Z are required.

To calculate the purchases of direct material, we need to use the following formula:

Purchases= production + desired ending inventory - beginning inventory

Purchases= 222,000*3 + 420,000 - 390,000

Purchases=  696,000 pounds