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The Cardinal Company had a finished goods inventory of 55,000 units on January 1. Its projected sales for the next four months were: January -

The Cardinal Company had a finished goods inventory of 55,000 units on January 1. Its projected sales for the next four months were:

January - 200,000 units

February - 180,000 units

March - 210,000 units

April - 230,000 units.

The Cardinal Company wishes to maintain a desired ending finished goods inventory of 20% of the following months sales.

Required:

Calculate the budgeted units of production for January.

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