Solved

Kenner Company Produces Two Products: SR200 and TX500

Question 71

Multiple Choice

Kenner Company produces two products: SR200 and TX500.Budgeted sales for four months are as follows:
Kenner Company produces two products: SR200 and TX500.Budgeted sales for four months are as follows:     Kenner's ending inventory policy is that SR200 should have 15% of next month's sales in ending inventory and TX500 should have 40% of next month's sales in ending inventory.On May 1, there were 1,200 units of SR200 and 9,000 units of TX500. TX500 requires 6 units of component A.(SR200 does not use component A.)  There were 30,000 units of component A in inventory on May 1.Kenner wants to have 20% of the following month's production needs in inventory for Component A. -How many units of TX500 are budgeted for production in June? A)  47,600 B)  34,800 C)  32,000 D)  45,000 E)  12,800 Kenner's ending inventory policy is that SR200 should have 15% of next month's sales in ending inventory and TX500 should have 40% of next month's sales in ending inventory.On May 1, there were 1,200 units of SR200 and 9,000 units of TX500.
TX500 requires 6 units of component A.(SR200 does not use component A.) There were 30,000 units of component A in inventory on May 1.Kenner wants to have 20% of the following month's production needs in inventory for Component A.
-How many units of TX500 are budgeted for production in June?


A) 47,600
B) 34,800
C) 32,000
D) 45,000
E) 12,800

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents