Answer:
60,500 units
Explanation:
Data provided in the question:
Month sales
July 60,000 units
August 58,000 units
September 61,000 units
October 60,000 units
Ending inventory = 50% of the following month's sales
Now,
Total inventory required in September
= Sales in September + Ending inventory of September
= 61,000 units + 50% of sales in October
= 61,000 units + ( 0.50 × 60,000 )
= 61,000 units + 30,000 units
= 91,000 units
Number of units to be produced in September
= Total inventory required in September - Ending inventory of August
= 91,000 units - ( 50% of 61,000 )
= 91,000 units - 30,500 units
= 60,500 units
