[Solved] Meadow Company Produces Hand Tools

Question 48
Multiple Choice

Meadow Company produces hand tools. A sales budget for the next four months is as follows: March 10,000 units, April 13,000, May 16,000 and June 21,000. Meadow Company's ending finished goods inventory policy is 10% of the following month's sales. March 1 beginning inventory is projected to be 1,400 units. How many units will be produced in March?

A) 10,000
B) 9,900
C) 13,000
D) 10,100

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