Which quarter will have the lowest production

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Reference no: EM132607632

A company provided the following information on sales for the coming year:

                                          1st Quarter                  2nd Quarter                   3rd Quarter                  4th Quarter

Units                                40,000                           40,000                 30,000                       80,000

Average selling price                  $5                              $5                         $5                    $6

Question 1: Assuming that the beginning inventory is 3,000 units, and that the company policy is to have 25% of the next quarter's sales in ending inventory, which quarter will have the lowest production?

Option a) Quarter 3

Option b) Quarter 4

Option c) Quarter 1

Option d) Quarter 2

Reference no: EM132607632

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