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Pardise Company Plans the Following Beginning and Ending Inventory Levels

Question 41

Multiple Choice

Pardise Company plans the following beginning and ending inventory levels (in units) for July:
 July 1  July 31  Raw material 40,00050,000 Work in process 10,00010,000 Finished goods 80,00050,000\begin{array} {| l | r | r | } \hline & \text { July 1 } & \text { July 31 } \\\hline \text { Raw material } & 40,000 & \mathbf { 5 0 , 0 0 0 } \\\hline \text { Work in process } & 10,000 & 10,000 \\\hline \text { Finished goods } & 80,000 & 50,000 \\\hline\end{array} Two units of raw material are needed to produce each unit of finished product.


-If 500,000 finished units were to be manufactured during July,what would be the units of raw material needed to be purchased?


A) 900,000 units.
B) 1,000,000 units.
C) 1,010,000 units.
D) 1,020,000 units.

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