Based on the following production and sales estimates for May, determine the number of units expected to be manufactured in May.

Question

Quizplus · Accepted Answer

The question asks for the number of units expected to be manufactured in May. Looking at the production and sales estimates for May, we see that 25,000 units are expected to be in inventory at the beginning of May, 5,000 units are expected to be in inventory at the end of May, and 20,000 units are expected to be sold in May. Using the formula:

Units produced = Units in inventory at the end of May + Units sold in May - Units in inventory at the beginning of May

we can calculate the number of units expected to be manufactured in May:

Units produced = 5,000 + 20,000 - 25,000 = 85,000

Therefore, the best choice is C) 85,000.

Based on the Following Production and Sales Estimates for May