Below Is Budgeted Production and Sales Information for Octofic Cans

question 8

Multiple Choice

Below is budgeted production and sales information for Octofic Cans, Inc.for the month of March: $$\begin{array} { l l l } & { \text { Aluminum } } & { \text { Tin } } \\\text { Estimated beginning inventory } & 12,000 \text { units } & 6,000 \text { units } \\\text { Desired ending inventory } & 15,000 \text { units } & 4,000 \text { units } \\\text { Region I, anticipated sales } & 380,000 \text { units } & 85,000 \text { units } \\\text { Region II, anticipated sales } & 125,000 \text { units } & 25,000 \text { units }\end{array}$$ ? The unit selling price for aluminum cans is $0.15 and for tin cans is $0.20.
Budgeted production for aluminum cans during the month is:

• A) 383,000 units.
• B) 508,000 units.
• C) 502,000 units.
• D) 532,000 units.

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Definitions:

Interest

The charge for borrowing money or the return on investment in savings accounts or bonds, typically expressed as a percentage.

Living Standard

The degree of prosperity, ease, physical items, and essential needs accessible to an individual, community, or social group.

Per Capita

A statistical measure that divides a total figure by the population number, providing an average per person.

Real GDP

Gross Domestic Product adjusted for inflation, measuring the value of all goods and services produced by an economy in real terms.