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DGT Industries Expects to Sell 450 Units of Product a and 400

Question 155

Multiple Choice

DGT Industries expects to sell 450 units of Product A and 400 units of Product B each day at an average price of $23 for Product A and $31 for Product B.The expected cost for Product A is 38% of its selling price and the expected cost for Product B is 60% of its selling price.DGT Industries has no beginning inventory,but it wants to have a four-day supply of ending inventory for each product.Compute the budgeted purchases for the next (seven-day) week.(Round the answer to the nearest dollar.)


A) $79,611
B) $91,000
C) $159,250
D) $125,103

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