Roamfree Pte Ltd manufactures buggies. Manufacturing a buggy takes 20 units of wood and 1 unit of steel. Scheduled production of buggies for the next two months is 500 and 600 units, respectively. Beginning inventory is 4,000 units of wood and 30 units of steel. The ending inventory of wood is planned to decrease 500 units in each of the next two months, and the steel inventory is expected to increase 5 units in each of the next two months: What is the number of units of wood that need to be purchased by Roamfree during the first month?   Question 16 options:   1)  1,000 units   2)  9,500 units   3)  500 units   4)  10,000 units

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter7: Budgeting
Section: Chapter Questions
Problem 4EA: One Device makes universal remote controls and expects to sell 500 units in January, 800 in...
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Roamfree Pte Ltd manufactures buggies. Manufacturing a buggy takes 20 units of wood and 1 unit of steel. Scheduled production of buggies for the next two months is 500 and 600 units, respectively. Beginning inventory is 4,000 units of wood and 30 units of steel. The ending inventory of wood is planned to decrease 500 units in each of the next two months, and the steel inventory is expected to increase 5 units in each of the next two months:
What is the number of units of wood that need to be purchased
by Roamfree during the first month?
 

Question 16 options:

 

1) 

1,000 units
 

2) 

9,500 units
 

3) 

500 units
 

4) 

10,000 units
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