Question

a company has sales of 2,600 units. there are 1,400 units of opening stock while the closing stock is planned to be 1,800 units. what production is needed to satisfy sales? group of answer choices 2,200 units 2,600 units 2,437 units 3,000 units

Answer 1

To meet sales requirements, factoring in opening and closing stock levels, the company needs to produce 3,000 units.

Step-by-step explanation:

To determine how much production is needed to satisfy sales, we need to account for both the opening stock and the closing stock. To calculate this, we use the following formula:

Production Needed = Sales + Closing Stock - Opening Stock

By plugging in the provided numbers:

Production Needed = 2,600 units (Sales) + 1,800 units (Closing Stock) - 1,400 units (Opening Stock)

Production Needed = 2,600 + 1,800 - 1,400

Production Needed = 3,000 units

Therefore, in order to satisfy sales given the levels of stock, the company needs to produce 3,000 units.