At January 1 2016 Deer Corp

question 162

Multiple Choice

At January 1 2016 Deer Corp. has beginning inventory of 2000 surfboards. Deer estimates it will sell 10000 units during the first quarter of 2016 with a 12% increase in sales each quarter. Deer's policy is to maintain an ending inventory equal to 25% of the next quarter's sales. Each surfboard costs $100 and is sold for $150. How much is budgeted sales revenue for the third quarter of 2016?

• A) $450000
• B) $1950000
• C) $1881600
• D) $12544

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Definitions:

Common Cold

A viral infectious disease mainly affecting the nose and respiratory passages but can also affect the throat, characterized by sneezing, coughing, and a runny nose.

Influenza

A contagious respiratory illness caused by influenza viruses, leading to symptoms like fever, cough, and body aches.

Allergy

An immune system response to a foreign substance (allergen) that is not typically harmful to the body. This reaction can cause various symptoms, such as sneezing, itching, and swelling.

Itchy Eyes

A sensation that leads to the desire to rub the eyes, often caused by allergies, infections, or dryness.