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The Following Forecasted Sales Pertain to Rapid City Finished Goods Inventory as of May 31 6,000 Units
Rapid

Question 126

Multiple Choice

The following forecasted sales pertain to Rapid City:  Month  Sales  June $160,000 July 200,000 August 120,000 September 80,000\begin{array} { l r } \text { Month } & \text { Sales } \\\text { June } & \$ 160,000 \\\text { July } & 200,000 \\\text { August } & 120,000 \\\text { September } & 80,000\end{array} Finished goods inventory as of May 31 6,000 units
Rapid City has a selling price of $5 per unit and expects to maintain ending inventories equal to 25 percent of next month's sales.
How many units are expected to be produced in June?


A) 36,000 units
B) 50,000 units
C) 82,000 units
D) 42,000 units

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