Gorberchev Food Processing Expects to Have 20,000 Units of Finished

question 44

Multiple Choice

Gorberchev Food Processing expects to have 20,000 units of finished goods inventory on hand on March 31 and reports the following expected sales (in units) for the first four months:
For the budgeting period the company desires each month's finished goods ending inventory to be 20% of the next month's sales.
The budgeted production for finished goods during April should be:

• A)112,000.
• B)120,000.
• C)127,200.
• D)128,000.
• E)142,000.

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