Production and sales estimates for June are as follows:

Estimated inventory (units), June 1	20,000
Desired inventory (units), June 30	19,000
Expected sales volume (units):
Area X	7,000
Area Y	4,000
Area Z	5,500
Unit sales price	$20

The number of units expected to be manufactured in June is

Select one:

a. 11,000

b. 12,500

c. 13,500

d. 15,500

Nuthatch Corporation began its operations on September 1 of the current year. Budgeted sales for the first three months of business are $260,000, $375,000, and $400,000, respectively, for September, October, and November. The company expects to sell 30% of its merchandise for cash. Of sales on account, 80% are expected to be collected in the month of the sale and 20% in the month following the sale.

The cash collections expected in October from accounts receivable are estimated to be

Select one:

a. $210,000

b. $294,500

c. $246,400

d. $262,500