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Noel Enterprises has budgeted sales in units for the next five months as follows: June 6,800 units July 5,400 units August 7,200 units September 4,600
Noel Enterprises has budgeted sales in units for the next five months as follows:
June 6,800 units
July 5,400 units
August 7,200 units
September 4,600 units
October 3,800 units
Past expereince has shown that the ending inventory for each month must be equal to 10% of the next month's sales in units. The inventory on May 31 contained 400 units. The company needs to prepare a production budget for the second quarter of the year.
The total number of units to be produced in July is:
A) 5,220 units
B) 6,120 units
C) 6,400 units
D) 5,580 units
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