Cahuilla Corporation Predicts the Following Sales in Units for the Coming

question 196

Multiple Choice

Cahuilla Corporation predicts the following sales in units for the coming four months:
Each month's ending Finished Goods Inventory in units should be 40% of the next month's sales. March 31 Finished Goods inventory is 96 units. A finished unit requires five pounds of direct material B at a cost of $2.00 per pound. The March 31 Raw Materials Inventory has 200 pounds of direct material B. Each month's ending Raw Materials Inventory should be 30% of the following month's production needs. The budgeted purchases of pounds of direct material B during May should be:

• A) 1,422 lbs.
• B) 288 lbs.
• C) 1,854 lbs.
• D) 276 lbs.
• E) 1,008 lbs.

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Definitions:

Attribution Theory

A social psychology theory that explains how individuals pinpoint the causes of their own and others' behavior, emphasizing the role of belief in understanding the social world.

Situational Attribution

The process of attributing a person's behavior to external causes rather than to internal characteristics.

Dispositional Attribution

The process of attributing behavior to an individual's stable personality traits.

Highly Consistent Behaviours

Actions or reactions that are predictable and stable over time across different situations.