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Nongshin Company manufactures instant noodles. Each instant noodle sells for $0.80. Nongshin projects that sales for January 2022 will be 11,000 units, with sales increasing
Nongshin Company manufactures instant noodles. Each instant noodle sells for $0.80. Nongshin projects that sales for January 2022 will be 11,000 units, with sales increasing by 500 units per month for February, March, and April 2022. On January 1, 2022, Nongshin has 3,700 units on hand and desires to maintain an ending inventory of 25% of the next month's sales. Nongshin budgets 0.2 pounds of flour (direct material) per unit at a cost of $0.45 per pound. The balance in the Raw Materials InventoryFlour account on January 1, 2022 is 280 pounds and Nongshin desires the ending balance in Raw Materials InventoryFlour to be 35% of the next month's flour needed for production. Q1. Find the budgeted units to be produced for March 2022. 11,625 O 11,925 12,125 O 12,425
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