Business, 06.11.2019 06:31 vanessa7676

Next year's sales forecast shows that 20,000 units of product a and 22,000 units of product b are going to be sold for prices of $10 and $12 per unit, respectively. the desired ending inventory of product a is 20% higher that its beginning inventory of 2,000 units. the beginning inventory of product b is 2,500 units. the desired ending inventory of b is 3,000.

(a) total budgeted sales of both products for the year would be:

a. $264,000
b. $42,000
c. $464,000
d. $200,000

(b) budgeted purchases of product a for the year would be:

a. 22,400 units
b. 12,200 units
c. 20,400 units
d. 20,000 units

(c) budgeted purchases of product b for the year would be:

a. 24,500 units
b. 23,200 units
c. 26,500 units
d. 22,500 units

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