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Question 1: At January 1, 2020, Bridgestine Inc. has a beginning inventory of 5,000 surfboards. Ross estimates it will sell 18,000 units during the first quarter of 2020 with a 5% increase in sales each quarter. Bridgestine's policy is to maintain an ending inventory equal to 25% of the next quarter's sales. Each surfboard costs $190 and is sold for $250. How much is budgeted sales revenue for the third quarter of 2020?
A. $4,961,250
B. $1,080,000
C. $1,190,700
D. $4,500,000
Find the number of sales units required to make a profit of R150 000. Determine the break-even value using the marginal income ratio.
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