Determine the budgeted units of inventory for March

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Question - The Cardinal Company had a finished goods inventory of 55,000 units on January 1. Its projected sales for the next four months were: January - 200,000 units; February - 180,000 units; March - 210,000 units; and April - 230,000 units. The Cardinal Company wishes to maintain a desired ending finished goods inventory of 20% of the following month's sales.

?Required - Determine the budgeted units of inventory for March 31.

a. 46,000

b. 36,000

c. cannot be determined from the data given

d. 42,000

Reference no: EM132963103

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