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kirill [66]
4 years ago
14

Jolly Company produces hula hoops. Jolly Company has the following sales projections for the upcoming​ year:

Business
1 answer:
jekas [21]4 years ago
7 0

Answer:

The correct answer is A.

Explanation:

Giving the following information:

First quarter budgeted hula hoop sales in units

22,900

Second quarter budgeted hula hoop sales in units

80,000

Jolly Company wants to have 10% of the next​ quarter's sales in units on hand at the end of each quarter. Inventory at the beginning of the year was

3, 900 hula hoops.

Production 1st quarter:

Sales= 22,900 units

Ending inventory= (80,000*0.10)= 8,000

Beginning inventory= 3,900 (-)

Total porduction= 27,000 units

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