Answer: 27,200 units
Step-by-step explanation:
The ending inventory is calculated as;
Desired Ending Inventory = Beginning Inventory + Inventory produced - Sales in the quarter
(40,000 * 20%) = 3,600 + Inventory produced - 22,800
Inventory produced = 8,000 - 3,600 + 22,800
Inventory Produced = 27,200 units