Reference: 07-08
Roberts Enterprises Has Budgeted Sales in Units for the Next

question 86

Multiple Choice

Reference: 07-08
Roberts Enterprises has budgeted sales in units for the next five months as follows: $$\begin{array} { | l | l | } \hline \text { June } & 4,500 \text { units } \\\hline \text { July } & 7,100 \text { units } \\\hline \text { August } & 5,300 \text { units } \\\hline \text { September } & 6,700 \text { units } \\\hline \text { October } & 3,700 \text { units } \\\hline\end{array}$$ Past experience has shown that the ending inventory for each month must be equal to 10% of the next month's sales in units. The inventory on May 31 contained 410 units. The company needs to prepare a production budget for the second quarter of the year.
-The desired ending inventory in units for August is:

• A)370.
• B)670.
• C)710.
• D)530.

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Definitions:

Situational Causes

External factors or circumstances that are considered to influence an individual's behavior.

Proximity

Physical or psychological closeness between people, which can significantly influence social bonds and relationships.

Physical Attractiveness

The degree to which a person's physical features are considered aesthetically pleasing or beautiful.

Similarity

The state of being alike or having attributes in common, often used to describe comparability between objects, individuals, or concepts.