Breaded Oak, Inc. has a policy that requires 20 percent of the expected sales of its product to be on hand at the end of the prior month. Forecasted sales, in units, for the months of January through April are as follows: $$\begin{array} { l l }
\text { January } & 36,000 \text { units } \
\text { February } & 42,000 \text { units } \
\text { March } & 58,000 \text { units } \
\text { April } & 52,000 \text { units }
\end{array}$$ (a.) Calculate the number of units planned for ending inventory for January, February, and March.
(b.) Calculate the number of units budgeted to be produced in January, February, and March.

Question

Breaded Oak, Inc. has a policy that requires 20 percent of the expected sales of its product to be on hand at the end of the prior month. Forecasted sales, in units, for the months of January through April are as follows: $$\begin{array} { l l } 
\text { January } & 36,000 \text { units } \
\text { February } & 42,000 \text { units } \
\text { March } & 58,000 \text { units } \
\text { April } & 52,000 \text { units }
\end{array}$$ (a.) Calculate the number of units planned for ending inventory for January, February, and March.
(b.) Calculate the number of units budgeted to be produced in January, February, and March.

Quizplus · Accepted Answer

The Answer of Breaded Oak, Inc. has a policy that requires 20 percent of the expected sales of its product to be on hand at the end of the prior month. Forecasted sales, in units, for the months of January through April are as follows: $$\begin{array} { l l } 
\text { January } & 36,000 \text { units } \
\text { February } & 42,000 \text { units } \
\text { March } & 58,000 \text { units } \
\text { April } & 52,000 \text { units }
\end{array}$$ (a.) Calculate the number of units planned for ending inventory for January, February, and March.
(b.) Calculate the number of units budgeted to be produced in January, February, and March.

Breaded Oak, Inc (A) Calculate the Number of Units Planned for Ending Inventory