Homework Answers
B. 249,000 pounds.
Budgeted purchases of material A:
| Second Quarter | |
| Production in units | 81,000 |
| Pounds per unit of production | 3 |
| Pounds of raw material for production | 243,000 |
| Add: Ending inventory (91,000 units × 3 × 20%) | 54,600 |
| 297,600 | |
| Less: Beginning inventory (81,000 units × 3 × 20%) | 48,600 |
| Budgeted purchase of material A | 249,000 |
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