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Question - Cecil Chair Company manufactures rocking chairs. The estimated number of rocking chair sales for each of the last three months of Year 1 is as follows:
MONTH UNIT SALES
Oct 10.000
Nov 14.000
Dec 13.000
Finished goods inventory at the end of November was 3,000 units. Desired ending finished goods inventory is equal to 25 percent of the next months sales. Cecil Chair expects to sell the chairs for $100 each. January sales for Year 2 are projected at 16,000 chairs. How many chairs should Cecil produce in December?
a. 10,000
b. 14,000
c. 9,500
d. 10,500
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