Sohar Company. estimates its sales at 180,000 units in the first quarter and that sales will increase by 18,000 units each quarter over the year. They have, and desire, a 25% ending inventory of finished goods. Each unit sells for OMR 25. 40% of the sales are for cash. 70% of the credit customers pay within the quarter. The remainder is received in the quarter following sale. Production in units for the third quarter should be budgeted at Select one: O a. None of the answers are correct O b. 216,000. Oc. 207,000. O d. 274,500. e. 220,500.

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Sohar Company. estimates its sales at 180,000 units in the first quarter and that sales will increase by 18,000 units each quarter
over the year. They have, and desire, a 25% ending inventory of finished goods. Each unit sells for OMR 25. 40% of the sales are
for cash. 70% of the credit customers pay within the quarter. The remainder is received in the quarter following sale.
Production in units for the third quarter should be budgeted at
Select one:
Oa. None of the answers are correct
b. 216,000.
O c. 207,000.
O d. 274,500.
O e. 220,500.
Transcribed Image Text:Sohar Company. estimates its sales at 180,000 units in the first quarter and that sales will increase by 18,000 units each quarter over the year. They have, and desire, a 25% ending inventory of finished goods. Each unit sells for OMR 25. 40% of the sales are for cash. 70% of the credit customers pay within the quarter. The remainder is received in the quarter following sale. Production in units for the third quarter should be budgeted at Select one: Oa. None of the answers are correct b. 216,000. O c. 207,000. O d. 274,500. O e. 220,500.
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