Terrence Corporation plans to sell 41,000 units of its single product in March.The company has 2,800 units in its March 1 ﬁnished-goods inventory and anticipates having 2,400 completed units in inventory on March 31. On the basis of this information, how many units does Terrence plan to produce during March?

Question

Quizplus · Accepted Answer

Terrence plans to produce 40,600 units in March. This is calculated by taking the planned sales (41,000 units) plus the desired ending inventory (2,400 units) minus the beginning inventory (2,800 units): 41,000 + 2,400 - 2,800 = 40,600 units.

Terrence Corporation Plans to Sell 41,000 Units of Its Single