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31. Solar Energy manufactures solar panels to meet the demand for the product due to the energy crisis caused by natural disasters. Solar Energy expects
31.
Solar Energy manufactures solar panels to meet the demand for the product due to the energy crisis caused by natural disasters. Solar Energy expects to sell 20,000 by 2021. Has sufficient inventory materials to manufacture 24,000 solar panels. Your master budget is has developed to a production level of 25,000 units. Your inventory of solar panels as of 1-1-2021 is estimated at 2,000 units. It has planned to maintain an inventory as of 12-31-2021 of 2,500 units. The The price at which each unit is sold is $ 300. Solar Energy does not have inventory in process. The production costs of each unit of fan are: $ 4 / for direct materials, $ 8 / for direct labor, and $ 1.60 / for indirect manufacturing costs. In addition, they incur operating costs (marketing, distribution and customer service) per fan unit amounting to $ 15.00. Fixed costs amount to $ 50 per unit. How many fan units is forecast to be produced during the 2021? Oa. 20,500 Ob. 25,000 Oc 20,000 Od 19,500 Step by Step Solution
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