Ligon Enterprises has prepared a production budget for October.Management has determined that the total required production for October is 425 000 units when an ending inventory of 20 000 units is desired and the beginning inventory is 8000 units.
Based on the above information,what were October's budgeted sales?
A) 453 000 units
B) 413 000 units
C) 437 000 units
D) 425 000 units

Question

Quizplus · Accepted Answer

To calculate October's budgeted sales, we use the formula: Budgeted Sales = Total Required Production - Desired Ending Inventory + Beginning Inventory. Plugging in the numbers: 425,000 - 20,000 + 8,000 = 413,000 units.

Ligon Enterprises Has Prepared a Production Budget for October