Use the information below to answer the following question(s).
Layne Cedar manufactures cedar chests. The estimated number of chests for the first three months of 2012 is as follows:
Finished goods inventory at the end of December is 3,000 units. Ending finished goods are equal to 30 percent of next month's sales. April 2012 sales are expected to total 16,000 units.
-What should be the budgeted number of chests produced in January 2012?

Question

Use the information below to answer the following question(s).
Layne Cedar manufactures cedar chests. The estimated number of chests for the first three months of 2012 is as follows:
  Finished goods inventory at the end of December is 3,000 units. Ending finished goods are equal to 30 percent of next month's sales. April 2012 sales are expected to total 16,000 units.
-What should be the budgeted number of chests produced in January 2012?

Quizplus · Accepted Answer

The budgeted number of chests produced in January 2012 is 11,200 chests, as this is the correct choice provided in the options.

Use the Information Below to Answer the Following Question(s)