Zhang Industries Budgets Production of 300 Units in June and 310

question 213

Multiple Choice

Zhang Industries budgets production of 300 units in June and 310 units in July.Each finished unit requires 4 pounds of raw material K,which costs $5 per pound.Each month's ending inventory of raw materials should be 30% of the following month's budgeted production.The June 1 raw materials inventory has 360 pounds of raw material K.Compute the budgeted cost of purchases for raw material K for June.

• A)$4,400.
• B)$6,000.
• C)$6,200.
• D)$6,060.
• E)$6,100.

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Definitions:

P Predictor

A variable in a statistical model that is used to predict the outcome of a dependent variable based on its relationship with the predictor.

Regression Equation

An equation in mathematics employed to forecast the value of a dependent variable using one or more independent variables.

Unit Increase

A single increment or step up in quantity, size, or number in a given context.

Holding Constant

A method in analysis where certain variables are kept unchanged to isolate the effect of other variables.