ABC Company wants to have 10,000 units on hand at the end of the year after selling 100,000 units during the year.If the beginning inventory is 5,000 units,ABC needs to produce 105,000 units during the year.

Question

Quizplus · Accepted Answer

To calculate the total units that ABC Company needs, we can use the following formula:

Total Units Needed = Ending Inventory + Units Sold - Beginning Inventory

Plugging in the given values, we get:

Total Units Needed = 10,000 + 100,000 - 5,000 = 105,000

Therefore, ABC Company needs to produce 105,000 units during the year.

ABC Company Wants to Have 10,000 Units on Hand at the End