Question

Production and sales estimates for March for Streamline Systems Co. are as follows: Estimated inventory (units), March 1 17,500 Desired inventory (units), March 31 20,300 Expected sales volume (units) 35,000 Unit sales price $15 The number of units expected to be manufactured in March is

Answer 1

Production= 37,800 units

Step-by-step explanation:

Giving the following information:

Estimated inventory (units):

March 1: 17,500

Desired inventory (units), March 31: 20,300

Expected sales volume (units:) 35,000

To calculate the number of units to be produced, we need to use the following formula:

Production= sales + ending inventory - beginning inventory

Production= 35,000 + 20,300 - 17,500= 37,800 units