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Waterloo, Lid manufactures a component used in aircraft navigation systems. Demand has been strong and the executive staff at Waterloo is planning for next year.
Waterloo, Lid manufactures a component used in aircraft navigation systems. Demand has been strong and the executive staff at Waterloo is planning for next year. Yesterday, you were called into a budgeting meeting where production plans were being reviewed You learn that the inventory policy at Waterloo is to hold one and one-half months' worth of sales to avoid issues with transportation disruptions). The sales budget for next year is 668,000 units, spread evenly over the year. Because of an unexpected increase in demand inventory at the end of this year is expected to be only 38.000 units. The capacity of the plant is 708.000 units annually Required .. What production level next year wil be required to meet the targets? (Do not round intermediate calculations.) Required production in units
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