Company X estimates the following number of unit sales for selected four months of 2020: May June July. August Sales in units 10,000 14,000 13,000 16,000 Target ending finished goods inventory is 30% of the next month's sales. How many total units need to be produced in June 2020? O a. 13,700 O b. None of the given answers О с. 13,300 O d. 13,900 e. 11,200

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter7: Budgeting
Section: Chapter Questions
Problem 8EA: How many units are estimated to be sold it Skyline. Inc., has a planned production of 900,000 units,...
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Company X estimates the following number of unit sales for selected four months of 2020:
May
June
July August
Sales in units 10,000 14,000 13,000 16,000
Target ending finished goods inventory is 30% of the next month's sales.
How many total units need to be produced in June 2020?
O a. 13,700
O b. None of the given answers
O c. 13,300
O d. 13,900
O e. 11,200
Transcribed Image Text:Company X estimates the following number of unit sales for selected four months of 2020: May June July August Sales in units 10,000 14,000 13,000 16,000 Target ending finished goods inventory is 30% of the next month's sales. How many total units need to be produced in June 2020? O a. 13,700 O b. None of the given answers O c. 13,300 O d. 13,900 O e. 11,200
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