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The following information is taken from the production budget for th

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The following information is taken from the production
budget for the first quarter:
Beginning inventory in units 1,800
Sales budgeted for the quarter 678,000
Capacity in units of production facility 708,000
How many finished goods units should be produced during
the quarter if the company desires 4,800 units available to
start the next quarter?
a. 675,000
b. 681,000
c. 711,000
d. 682,800
Solution
Answer:
finished goods units should be produced during the quarter
=>
= Sales budgeted for the quarter - Beginning inventory in
units + units available to start the next quarter
= 678,000 - 1,800 + 4800
= 681,000

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The following information is taken from the production budget for the first quarter: Beginning inventory in units 1,800 Sales budgeted for the quarter 678,000 Capacity in units of production facility 708,000 How many finished goods units should be produced during the quarter if the company desires 4,800 units available to start the next quarter? a. 675,000 b. 681,000 c. 711,000 d. 682,800 Solution Answer: finished goods units should be produced during the quarter => = Sales budgeted for the quarter - Beginning inventory in units + units available to start the next quarter = 678,000 - 1,800 + ...
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