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Budgeted Sales for the First Six Months for Pratt Company

Question 88

Multiple Choice

Budgeted sales for the first six months for Pratt Company are listed below:

  JANUARY   FEBRUARY MARCH  APRIL  MAY   JUNE
UNITS:   5,000  6,000 9,000 8,000  6,000  5,000

Pratt Company has a policy of maintaining an inventory of finished goods equal to 30 percent of the next month's budgeted sales.If Pratt Company plans to produce 8,000 units in June,what are budgeted sales for July?


A) 3,000 units
B) 4,500 units
C) 10,000 units
D) 15,000 units

Correct Answer:

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