question archive An examination of Shorter Corporation's inventory accounts revealed the following information: Raw materials, June 1: 46,000 units Raw materials, June 30: 51,000 units Purchases of raw materials during June: 185,000 units Shorter's finished product requires four units of raw materials
An examination of Shorter Corporation's inventory accounts revealed the following information: Raw materials, June 1: 46,000 units Raw materials, June 30: 51,000 units Purchases of raw materials during June: 185,000 units Shorter's finished product requires four units of raw materials
Subject:BusinessPrice:2.88 Bought3
An examination of Shorter Corporation's inventory accounts revealed the following information:
Raw materials, June 1: 46,000 units
Raw materials, June 30: 51,000 units
Purchases of raw materials during June: 185,000 units
Shorter's finished product requires four units of raw materials. On the basis of this information, how many finished products were manufactured during June?
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Calculate first the used raw materials.
Used raw materials = Beginning Raw materials + Purchases - Ending Raw materials = 46,000 + 185,000 - 51,000 = 180,000 units
If every unit manufactured will need 4 units of raw materials, the finished products are:
Finished products manufactured = Used raw materials / Raw materials needed every unit = 180,000 / 4 = 45,000 units
Therefore, the answer is 45,000 units.
