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Material Requirements..chap 7 opentuition notes

Forums › FIA Forums › Material Requirements..chap 7 opentuition notes

  • This topic has 1 reply, 2 voices, and was last updated 11 years ago by Iqra.
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  • January 8, 2014 at 9:08 am #153891
    mansoor
    Participant
    • Topics: 423
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    • ☆☆☆☆

    In chap 7, material req, Question 2:

    Opening inv: 20000 units
    units to be sold:90000
    closing inv:10000

    how many units must be produced?

    units produced=units sold+closing stock-opening stock=90000+10000-20000=80000

    but the answer says 90000

    where am i goin wrong

    December 1, 2014 at 5:27 pm #215273
    Iqra
    Member
    • Topics: 21
    • Replies: 14
    • ☆

    sales = opening inventory + purchases – closing inventory

    90,000 = 20,000 + purchases – 10,000

    So purchases = 80,000

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