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Question 4: Home ? My courses > ACCT-103-30889-201806 > Topic 5 Budgeting > Test

ID: 2412979 • Letter: Q

Question

Question 4:
Home ? My courses > ACCT-103-30889-201806 > Topic 5 Budgeting > Test 5A Question 3 Not yet answered Flag question Points out of 1.00 If we now have 40 units in inventory and we want to keep at least 5 units of ending inventory in safety stock. how many units would we need to produce if our sales budget forecast 150 units to be sold? Select one: A. 185 units B. 115 units C. 150 units D. 135 units Previous page y Cobleskill State Route 7. Cobleskill. New York 12043 1518-255-5011

Explanation / Answer

Answer

Question 3 & 4

A

Sales Budget

150

B

Ending Inventory

5

C = A + B

Total needs

155

D

Beginning Inventory

40

E= C - D

Units to be produced

115

Answer

Option B: 115 units

Question 3 & 4

A

Sales Budget

150

B

Ending Inventory

5

C = A + B

Total needs

155

D

Beginning Inventory

40

E= C - D

Units to be produced

115

Answer

Option B: 115 units

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