Final answer:
The total pounds of direct materials to be purchased by Byrd Company is 10700 pounds, found by adding the direct materials needed for production (9500 pounds) to the desired inventory (2200 pounds) and then subtracting the beginning inventory (1000 pounds).
Step-by-step explanation:
The total pounds of direct materials to be purchased by Byrd Company is calculated by taking the total pounds needed for production and adjusting for inventory levels. In case of the Byrd Company, they need 9500 pounds for production, have a beginning inventory of 1000 pounds, and desire an ending inventory of 2200 pounds.
To calculate the amount to purchase, we use the following formula:
- Total Materials Needed for Production + Desired Ending Inventory - Beginning Inventory
Substituting these values in, we get:
- 9500 + 2200 - 1000 = 10700 pounds to be purchased.