Please show the work. Thank you! The following information relates to the next T

Question

Please show the work. Thank you!

The following information relates to the next TWO (2) questions: per month; the sales i ne maaes also expects this growth trend to continue. The April beginning finished goods inventory is geted to b T60 000 unit The target ending inventory has been equal to 40% of the next month's budgeted unit 5 The Honolulu chen company makes and sells specialty blenders. The unit sales have been growing at the rate of 8% co e budgeted production requirement in units for the second quarter is closest to: 1,340,114 units 412,800 units as 1,298,560 units 481,490 unitsSalex E. None of the above

Explanation / Answer

5 April May June Budgeted sales 400000 432000 466560 Add: Desired ending inventory @40% 172800 186624 201554 Total units available for sale 572800 618624 668114 Less: Beginning inventory 160000 172800 186624 Budgeted production 412800 445824 481490 Total budgeted production second quarter=412800+445824+481490=1340114 Option A is correct

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