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Julie Finn is preparing the materials purchases budget for the first quarter. The production manager ...

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Julie Finn is preparing the materials purchases budget for the first quarter. The production manager ...

Julie Finn is preparing the materials purchases budget for the first quarter. The production manager has provided the following production budget information: January - 60,000 units, February - 55,000 units, March - 50,000 units. Each unit requires 5 gallons of direct materials, and Julie wants to maintain an ending inventory equal to 15% of the next month's production needs. How many gallons will Julie budget to purchase in February?

▸ 312,500

▸ 282,500

▸ 271,250

▸ 275,000

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Managerial Accounting

Edition: 4^th

Author: Davis

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