Bentsen Corporation makes one product. JulyAugustSeptemberOctoberBudgeted unit sales8,5009,00013,90011,100The ending finished goods inventory equals 40% of the following month's sales. The ending raw materials inventory equals 10% of the following month's raw materials production needs. Each unit of finished goods requires 6 pounds of raw materials. The raw materials cost $2.00 per pound. If 76,680 pounds of raw materials are required for production in September, then the budgeted cost of raw material purchases for August is closest to:
A. $131,520
B. $160,008
C. $146,856
D. $133,704
Answer: D
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