At January 1, 2016, Ceatric, Inc

question 39

Multiple Choice

At January 1, 2016, Ceatric, Inc.has beginning inventory of 10,000 boogie boards.Ceatric estimates it will sell 7,000 units during the first quarter of 2016 with a 7% increase in sales each quarter.Ceatric's policy is to maintain an ending inventory equal to 14% of the next quarter's sales.Each surfboard costs $95 and is sold for $130.How much is budgeted sales revenue for the third quarter of 2016?

• A)$80,143
• B)$910,000
• C)$1,041,859
• D)$280,500.50

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Definitions:

Tax System Equity

The fairness of a tax system, assessed by how the tax burden is distributed among different groups in society.

Deadweight Losses

Economic inefficiencies that occur when the allocation of resources is not optimal, typically due to market imbalances or government interventions.

Tax

A compulsory financial charge or other type of levy imposed on a taxpayer by a governmental organization in order to fund government spending and various public expenditures.

Deadweight Loss

The loss of economic efficiency that occurs when the equilibrium for a good or a service is not achieved or is unattainable, leading to misallocation of resources.