Sarafiny Corporation is in the process of preparing its annual budget. The following beginning and ending inventory levels are planned for the year. Finished goods (units) Raw material (grams) Each unit of finished goods requires 3 grams of raw material. The company plans to sell 630,000 units during the year. Multiple Choice The number of units the company would have to manufacture during the year would be: O 630,000 units 708,000 units Beginning Inventory 28,000 58,000 572,000 units Ending Inventory 78,000 48,000 680,000 units

Cornerstones of Cost Management (Cornerstones Series)
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Chapter16: Cost-volume-profit Analysis
Section: Chapter Questions
Problem 18E: Carmichael Corporation is in the process of preparing next years budget. The pro forma income...
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Sarafiny Corporation is in the process of preparing its annual budget. The
following beginning and ending inventory levels are planned for the year.
Finished goods (units)
Raw material (grams)
Each unit of finished goods requires 3 grams of raw material. The company plans
to sell 630,000 units during the year.
Multiple Choice
The number of units the company would have to manufacture during the year
would be:
O
O
O
630,000 units
708,000 units
Beginning
Inventory
28,000
58,000
572,000 units
Ending
Inventory
78,000
48,000
680,000 units
Transcribed Image Text:Sarafiny Corporation is in the process of preparing its annual budget. The following beginning and ending inventory levels are planned for the year. Finished goods (units) Raw material (grams) Each unit of finished goods requires 3 grams of raw material. The company plans to sell 630,000 units during the year. Multiple Choice The number of units the company would have to manufacture during the year would be: O O O 630,000 units 708,000 units Beginning Inventory 28,000 58,000 572,000 units Ending Inventory 78,000 48,000 680,000 units
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