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Next years sales forecast shows that 20,000 units of Product A and 22,000 units of...

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Accounting

Next years sales forecast shows that 20,000 units of Product A and 22,000 units of Product B are going to be sold for prices of $10 and $12 per unit, respectively. The desired ending inventory of Product A is 20% higher than its beginning inventory of 2,000 units. The beginning inventory of Product B is 2,500 units. The desired ending inventory of B is 3,000 units.

Budgeted production of Product A for the year would be

a. 20,400 units

b. 12,200 units

c. 22,400 units

d. 20,000 units

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