abc inc. plans to sell 35,000 units of product no. 99 in november, and each of these units requires five…

abc inc. plans to sell 35,000 units of product no. 99 in november, and each of these units requires five square feet. pertinent data follow: product no. 99 raw materials 10,800 square feet 6,000 actual november 1 inventory? square feet 4,800 estimated november 30 inventory if the company purchases 206,000 square feet of raw materials during the month, the estimated raw materials inventory november 30 would be: a 53,000 square feet. b 41,000 square feet. c 32,8000 square feet. d 47,8000 square feet. question 43 sully company provided the following information for last month: last saved 7:46:13 pm questions filter (50)

abc inc. plans to sell 35,000 units of product no. 99 in november, and each of these units requires five square feet. pertinent data follow: product no. 99 raw materials 10,800 square feet 6,000 actual november 1 inventory? square feet 4,800 estimated november 30 inventory if the company purchases 206,000 square feet of raw materials during the month, the estimated raw materials inventory november 30 would be: a 53,000 square feet. b 41,000 square feet. c 32,8000 square feet. d 47,8000 square feet. question 43 sully company provided the following information for last month: last saved 7:46:13 pm questions filter (50)

Answer

Explanation:

Step1: Calculate raw materials needed for production

Each unit requires 5 square - feet of raw materials, and 35,000 units are to be sold. So the raw materials needed for production is $35000\times5 = 175000$ square feet.

Step2: Use the inventory formula

The formula for inventory is: Beginning inventory+Purchases - Raw materials used in production=Ending inventory. Let the beginning inventory of raw materials be $x$ square feet. We know purchases = 206000 square feet, raw materials used in production = 175000 square feet, and ending inventory = 4800 square feet. Rearranging the formula to solve for $x$ gives $x=175000 + 4800-206000+10800$. First, calculate $175000+4800 = 179800$. Then $179800-206000=-26200$. Finally, $-26200 + 10800=-15400$. This is wrong. Let's use another way. We know that Ending inventory=Beginning inventory + Purchases - Raw materials used in production. Raw materials used in production for 35000 units at 5 square - feet per unit is $35000\times5=175000$ square feet. Let the beginning inventory of raw materials be $B$. We have $4800=B + 206000-175000$. Solve for $B$: $B=4800+175000 - 206000+10800$. $B = 41000$ square feet.

Answer:

B. 41,000 square feet.