What budgeted production for the second quarter of next year

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Reference no: EM132706424

Able Industries sales budget shows quarterly sales for the next year as follows:

Quarter 1-15,000;

Quarter 2-13,000;

Quarter 3-17,000;

Quarter 4-19,000.

Problem 1: Company policy is to have a target finished-goods inventory at the end of each quarter equal to 25% of the next quarter's sales. Budgeted production for the second quarter of next year would be:

1. 17,000 units

2. 17,250 units

3. 14,000 units

4. 10,750 units

Reference no: EM132706424

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