Soft and Silky, Inc. manufactures bedding sets. The budgeted production is for 53,000 comforters in 2017. Each comforter requires 6 yards of material. The estimated January 1, 2017, beginning inventory is 31,000 yards. The desired ending balance is 30,000 yards of material. If the material costs $1.50 per yard, determine the materials budget for 2017.

Question

Jane Neal

Mathematics

14 January, 18:37

Soft and Silky, Inc. manufactures bedding sets. The budgeted production is for 53,000 comforters in 2017. Each comforter requires 6 yards of material. The estimated January 1, 2017, beginning inventory is 31,000 yards. The desired ending balance is 30,000 yards of material. If the material costs $1.50 per yard, determine the materials budget for 2017.

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Skylar Cross · Answer 1

Budget to purchase the material for the year 2017 will be $475500.

Step-by-step explanation:

The budgeted production for 2017 is for 53000 comforters.

Estimated beginning inventory is 31000 yards.

Ending balance is 30000 yards of the material.

Therefore, expression that models the expression will be

End material = Beginning material + Material purchased - material for production

30000 = 31000 + Material purchased - (53000*6)

30000 - 31000 = Material purchased - 318000

-1000 = Material purchased - 318000

Material purchased = 318000 - 1000

Material purchased = 317000 yards

Since, material cost is given as $1.5 per yard

Therefore, Budget to purchase the material = 317000*1.5

= $475500

Budget to purchase the material for the year 2017 will be $475500