Regular Production Costs $15 Per Unit and Selling a Unit

question 36

Multiple Choice

Regular production costs $15 per unit and selling a unit represents a cash inflow of $25 per unit. Assume that all units reflected on the forecast will be sold. What is the net cash flow for March? $$\begin{array} { | l | c | c | } \hline{ \text { Month } } & \text { Forecast } & \text { Regular Production } \\\hline \text { Tanuary } & 250 & 250 \\\hline \text { February } & 200 & 200 \\\hline \text { March } & 300 & 300 \\\hline \text { April } & 400 & 400 \\\hline\end{array}$$

• A)$11,500
• B)$7,500
• C)$4,500
• D)$3,000

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Definitions:

Grandparents

The parents of one's parents, who can play various roles in the family structure, including caregiver, mentor, and cultural historian.

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A term referring to a legal right, typically in the context of retirement plan benefits that cannot be lost by an employee once earned.

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The earned portion of a pension that an employee is entitled to receive upon retirement, even if they leave the company before reaching retirement age.

Preretirement Program

A structured set of activities and planning processes intended to prepare individuals for retirement, often including financial planning and lifestyle adjustments.