Tucker Company makes chairs. Tucker has the following production budget for January - March. January February March Units Produced 10,064 11,918 8,277 Each chair produced uses 5 board feet of wood. Management wants ending inventory levels of raw materials to equal 20% of the production needs (in wood) for the next month. How many board feet of wood does Tucker need to purchase in February? Round your answer to the nearest whole number. Don't round any intermediate calculations.

Question

Cottonball

Business

8 April, 09:25

Tucker Company makes chairs. Tucker has the following production budget for January - March. January February March Units Produced 10,064 11,918 8,277 Each chair produced uses 5 board feet of wood. Management wants ending inventory levels of raw materials to equal 20% of the production needs (in wood) for the next month. How many board feet of wood does Tucker need to purchase in February? Round your answer to the nearest whole number. Don't round any intermediate calculations.

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Answers (1)

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Cello · Answer 1

79,785

Explanation:

The computation of the purchase needed is shown below:

= February material + march material - January material

where,

February material = 11,918 units * 5 board feet = 59,590

March material = 8,277 * 5 board feet * 20% = 8,277

January material = 11,918 units * 5 board feet * 20% = 11,918

Now put these units to the above formula

So, the total units would equal to

= 59,590 + 8,277 + 11,918

= 79,785