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The projected monthly sales for ABC Company for the first four months of the year 2008 are: January, 10,000 units; February, 15,000 units; March, 20,000
The projected monthly sales for ABC Company for the first four months of the year 2008 are: January, 10,000 units; February, 15,000 units; March, 20,000 units; and April, 24,000 units. Finished Goods Inventory on December 31, 2007, was 8,000 units. Finished Goods Inventory on December 31, 2007, was 8,000 units. The company wants to have an ending monthly inventory of one-half of next month's estimated sales.
Required: Determine the company's production requirements for each month of the first quarter.
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