Thank you for the opportunity to help you with your question! IF you have any clarification, please don't hesitate to ask and I will do my best to answer.
The quarter's ending inventory is 10% of the estimated sales of the first month of the next quarter, which is October. Therefore, the ending inventory should be 5,000 units (10% x 50,000 units).
The quarter's beginning inventory is the ending inventory of June. Remember that the beginning of the quarter is the same as the ending of June. Therefore, the beginning inventory for yhe quarter should be 3,000 units.
Please let me know if you need any clarification. I'm always happy to answer your questions.
Sep 10th, 2015
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