Question

First Class, Inc., expects to sell 28,000 pool cues for $14 each. Direct materials costs are $3, direct manufacturing labor is $5, and manufacturing overhead is $0.82 per pool cue. The following inventory levels apply to 2019: Beginning inventory Ending inventory Direct materials 26,000 units 26,000 units Work-in-process inventory units O units Finished goods inventory 1,300 units 2,800 units
How many pool cues need to be produced in 2019?
Select one:
a. 29,500 cues
b. 30,800 cues
c. 29,300 cues
d. 26,500 cues

Answer 1

Answer:

a. 29,500 cues

Explanation:

Calculation to determine How many pool cues need to be produced in 2019

Using this formula

Pool cues needed =Budgeted sales +Budgeted ending inventory-Beginning inventory

Let plug in the formula

Pool cues needed=28,000 units + 2,800- 1,300 Pool cues needed= 29,500 cues

Therefore pool cues need to be produced in 2019 is 29,500 cues