Mr Lewis's Co Has Projected Sales for the Next Four

question 52

Multiple Choice

Mr Lewis's Co has projected sales for the next four months as follows: $\begin{array} { l c } & \underline { \text { Units } } \\\text { January } & 70,000 \\\text { February } & 90,000 \\\text { March } & 55,000 \\\text { April } & 65,000\end{array}$
Beginning inventory for the year is 47,000 units. Ending inventory for each month should be 30% of the next month's sales. How many units should the company produce in January?

• A) 50,000
• B) 97,000
• C) 70,000
• D) 90, 000

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