Saphire Company Budgeted the Following Production in Units for the Second

question 45

Multiple Choice

Saphire Company budgeted the following production in units for the second quarter of the year: ​
​
Each unit requires four pounds of raw material.Saphire's policy is to have 30% of the following month's production needs for materials in inventory.This policy was met in March.Desired ending inventory for April in pounds equals:

• A) 45,600.
• B) 11,400.
• C) 10.500.
• D) 38,300.
• E) 54,000.

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Definitions:

Intertemporal Price Discrimination

involves charging different prices at different times for the same product, aiming to maximize profits by taking advantage of differences in demand elasticity over time.

Peak-Load Pricing

A pricing strategy that adjusts prices in response to varying levels of demand, typically higher during peak usage times.

Marginal Revenue

The additional income that is generated by selling one more unit of a good or service.

Peak-Load Pricing

A pricing strategy that applies higher charges for goods or services during times of peak demand to manage usage and maximize profit.