Next Year's Sales Forecast Shows That 20,000 Units of Product

question 44

Multiple Choice

Next year's sales forecast shows that 20,000 units of Product A and 22,000 units of Product B are going to be sold for prices of $10 and $12 per unit, respectively. The desired ending inventory of Product A is 20% higher than its beginning inventory of 2,000 units. The beginning inventory of Product B is 2,500 units. The desired ending inventory of Product B is 3,000 units.
-Total budgeted sales of both products for the year would be

• A)$42,000
• B)$200,000
• C)$264,000
• D)$464,000