Unformatted text preview: of raw material to be purchased. Calculation: Answer: Raw materials required for production = 3,500,000 x 2 = 7,000,000 Add: desired ending raw material inventory on Dec. 31 = 315,000 Deduct: beginning raw material inventory on Jan. 1 = 245,000 Required raw material purchase during the year = 7,000,000 + 315,000- 245,000 = 7,070,000...
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This note was uploaded on 11/13/2011 for the course MBA 642 taught by Professor Jamesstephens during the Summer '11 term at Bellevue.
- Summer '11
- Financial Accounting