Answer:
Instructions are listed below.
Explanation:
Giving the following information:
Month: 1 2 3 Units 10,000 11,000 12,000
Inventory of finished goods on hand at the beginning of the quarter is 4,000 units.
The company desires to maintain ending inventory equal to beginning inventory plus 1,000 units every month.
Month 1:
Production= 10,000 units
Ending inventory= 4,000 + 1,000= 5,000
Beginning inventory= (4,000)
Total= 11,000
Month 2:
Production= 11,000 units
Ending inventory= 5,000 + 1,000= 6,000
Beginning inventory= (5,000)
Total= 12,000
Month 3:
Production= 12,000 units
Ending inventory= 6,000 + 1,000= 7,000
Beginning inventory= (6,000)
Total= 13,000
