If the Expected Sales Volume for the Current Period Is

question 79

Multiple Choice

If the expected sales volume for the current period is 7,000 units,the desired ending inventory is 400 units,and the beginning inventory is 400 units,the number of units set forth in the production budget,representing total production for the current period,is

• A) 6,700
• B) 7,400
• C) 7,100
• D) 7,000

---

Definitions:

Marginal Utility

The added satisfaction or usefulness obtained from using one more unit of a product or service.

Total Utility

The total satisfaction or benefit received by consuming a particular quantity of a good or service.

Price Ratio

The relative price of one good or service compared to another, often indicating how many units of one good can be exchanged for one unit of another.

Price

The monetary value anticipated, needed, or dispensed for acquiring something.