Inventory at the end of April 2008 is 250 units consider inventory at beginning, expected production and demand.
Calculation:
Inventory at beginning of April 2008 = 200 units
Expected demand during April 2008 = 50 units
Expected production during April 2008 = 100 units
Inventory at the end of April 2008 = 200 units- 50 units +100 units = 250 units.
Both the raw ingredients used during production and the finished commodities that are offered for sale are included in the definition of inventory. One of a business's most valuable resources is its inventory since it is one of the main sources of increasing revenue and, subsequently, a source of income for the equity assets. There are three distinct types of inventories: finished commodities, work-in-progress, and raw materials.
The complete question is here:
Inventory information for firm ABC:
Inventory at the end of March 2008 200 units
Expected demand during April 2008 50 units
Production expected during April 2008 100 units
What is the expected inventory at the end of April 2008?
A. 350
B. 250
C. 150
D. 50
E. 80
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