Phillip Co.manufactures decorative pillows designed for use on outdoor patios.Phillip requires that 30 percent of next month's sales be on hand at the end of each month.The following information is available regarding budgeted sales of pillows:
What is budgeted production for May?
A) 44,000
B) 48,800
C) 62,000
D) 30,800

Question

Phillip Co.manufactures decorative pillows designed for use on outdoor patios.Phillip requires that 30 percent of next month's sales be on hand at the end of each month.The following information is available regarding budgeted sales of pillows:
  What is budgeted production for May? 
A) 44,000 
B) 48,800 
C) 62,000 
D) 30,800

Quizplus · Accepted Answer

44,000 + [60,000 - 44,000 x 30%] = 48,800