A Shoes manufacturer manufactures slippers and is planning on producing 24,000 units in March and
23,000 in April. Each unit requires 1.4 yards of material, which costs $3.60 per yard. The company's policy is
to have enough material on hand to equal 20% of next month's production needs and to maintain a
finished goods inventory equal to 25% of the next month's production needs. What is the budgeted cost of
purchases for March?
? ?. $ 85,824
O b. $ 119,952
O c. $ 119,700
O d. $ 120,960
A company has a pre-tax or operating income of $150,000. If the tax rate is 40%, what is the company's
after-tax income?
? ?. $ 90,000
O b. $ 60,000
O c. $ 250,000
O d. $375,000