Charm Enterprises' Production Budget Shows the Following Units to Be

Charm Enterprises' production budget shows the following units to be produced for the coming three months: $\begin{array} { | l | r | r | r | } \hline & \text { April } & \text { May } & \text { June } \\\hline \text { Units to be produced } & 2,560 & 2,880 & 2,760 \\\hline\end{array}$
A finished unit requires four ounces of a key direct material. The March 31 Raw Materials Inventory has 4,032 ounces (oz.) of the material. Each month's ending Raw Materials Inventory should be 35% of the following month's production needs. The materials to be purchased during May should be:

A) 11,352 oz.
B) 11,520 oz.
C) 7,616 oz.
D) 15,384 oz.
E) 7,448 oz.

Correct Answer:

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