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Paradise corporation budgets on an annual basis for year

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Paradise Corporation budgets on an annual basis for its fiscal year. The following beginning and ending inventory levels (in units) are planned for next year.

Begin Inventory End Inventory

Raw Materials* 40,000 50,000

Finished Goods 80,000 50,000

*Three pounds of raw material are needed to produce each unit of finished product.

If Paradise Corporation plans to sell 480,000 units during next year, the number of units it would have to manufacture during the year would be:

A. 440,000 units

B. 480,000 units

C. 510,000 units

D. 450,000 units

 

Reference no: EM131779865

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