Victory Enterprise manufactures cabinets. Projected sales in units are as follows: October -4.600 units; November - 5,000 units; December - 4,200 units; January - 6,000 units.||The ending finished goods inventory for every month is projected to be at 50% of the sales inunits of the next month.The number of units to be produced in December should be:1. 3,000 units2. 5,100 units3. 4,200 units4. 5,000 unitsO 1O 2O 34

Particulars October November December January Sales (in units) A. 4600 5000 4200 6000 +Closing…

Answered: ing finished goods inver

Business

Accounting

ing finished goods inver

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Concept explainers

Inventory Accounting

Inventory accounting is that branch of accounting that helps in determining the specific value of assets at different stages of production and development.

Question

Victory Enterprise manufactures cabinets. Projected sales in units are as follows: October -
4.600 units; November - 5,000 units; December - 4,200 units; January - 6,000 units.
|
|
The ending finished goods inventory for every month is projected to be at 50% of the sales in
units of the next month.
The number of units to be produced in December should be:
1. 3,000 units
2. 5,100 units
3. 4,200 units
4. 5,000 units
O 1
O 2
O 3
4

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