1) Jordan Company produces and sells basketballs. To guard against out of stock situations, the company requires that 20% of the next months sales be on hand at the end of each month. Budgeted sales of basketballs over the next three months are:

 October November December

 Budgeted sales in units 80,000 120,000 100,000

 Budgeted production for November would be:

 a. 140,000 units

 b. 124,000 units

 c. 116,000 units

 d. 100,000 units