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antoniya [11.8K]
3 years ago
5

Motorcycle Manufacturers, Inc. projected sales of 54,000 machines for the year. The estimated January 1 inventory is 6,520 units

, and the desired December 31 inventory is 7,450 units. What is the budgeted production (in units) for the year?
Business
1 answer:
AveGali [126]3 years ago
6 0

Answer:

54,930 units

Explanation:

If Motorcycle Manufacturers, Inc. has 6,520 units in inventory and plans to sell 54,000 units during the year while keeping 7,450 units in inventory, they will need to produce:

budgeted production = projected sales - net changes in inventory = 54,000 - (6,520 - 7,450) = 54,000 - (-930) = 54,930 units

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