Terrence Corporation plans to sell 41,000 units of its single product in March. The company has 2,800 units in its March 1 finished-goods inventory and anticipates having 2,400 completed units in inventory on March 31. On the basis of this information, how many units does Terrence plan to produce during March

Question

Priscilla Harrell

Business

25 February, 16:34

Terrence Corporation plans to sell 41,000 units of its single product in March. The company has 2,800 units in its March 1 finished-goods inventory and anticipates having 2,400 completed units in inventory on March 31. On the basis of this information, how many units does Terrence plan to produce during March

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Answers (1)

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Antony Butler · Answer 1

40,600 units

Explanation:

Data provided as per the question below:-

Closing stock = 2,400

Expected sales = 41,000

Opening stock = 2,800

The computation of units to be Produced by Yorkley Corporation is shown below:-

Units to be produced = Closing stock + Expected sales - Opening stock

= 2,400 + 41,000 - 2,800

= 43,400 - 2,800

= 40,600 units