The Following Information Is Taken from the Production Budget for the First

question 33

Multiple Choice

The following information is taken from the production budget for the first quarter: $$\begin{array} { l r } \text { Beginning inventory in units } & 1,200 \\\text { Sales budgeted for the quarter } & 426,000 \\\text { Capacity in units of production facility } & 472,000\end{array}$$ How many finished goods units should be produced during the quarter if the company desires 3,200 units available to start the next quarter?

• A)428,000
• B)424,000
• C)474,000
• D)429,200

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Definitions:

Negligent

Failing to take proper care in doing something, often leading to harm or damage.

Public Policy

Principles and standards considered to be in the interest of the general public and used as a guide for legislative or judicial action.

Privity Statutes

Laws that dictate the relationship necessary between parties in order to sue or be sued under a contract.

Warranty Cases

Legal disputes that arise when there is a breach of express or implied warranties, guaranteeing the condition or quality of a product or service.