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Supply Corporation manufactures and sells cotton gauze for $2 a box. Expected sales of gauze (in boxes) for upcoming months are as follows: # of

Supply Corporation manufactures and sells cotton gauze for $2 a box. Expected sales of gauze (in boxes) for upcoming months are as follows:

# of boxes

August....................

60,000

September..............

75,000

October..................

100,000

Management likes to maintain a finished goods inventory equal to 25% of the next month's estimated sales.What is the company's budgeted production in boxes for September?

A.

75,000 boxes

B.

63,750 boxes

C.

81,250 boxes

D.

71,250 boxes

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