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QUESTION

Can you guys solve this for me?

Can you guys solve this for me?

Ray Company’s projected sales budget for the next four months is as follows: Units January 70,000 February 90,000 March 55,000 April 65,000 Beginning inventory for the year is 27,000 units. Ending inventory for each month should be 30% of the next month’s sales. 

1. How many units should the company produce in January?

 a. 106,000 b. 90,000 c. 70,000 d. 78,000 

2. How many units need to be available for sale in February?

 a. 90,000 b. 106,500 c. 73,500 d. 117,000

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