At January 1, 2016, Barry, Inc

Multiple Choice

At January 1, 2016, Barry, Inc.has beginning inventory of 5,000 widgets.Barry estimates it will sell 40,000 units during the first quarter of 2016 with a 5% increase in sales each quarter.Barry's policy is to maintain an ending inventory equal to 10% of the next quarter's sales.Each widget costs $2 and is sold for $3.How much is budgeted sales revenue for the third quarter of 2016?

A) $44,100
B) $120,000
C) $132,300
D) $119,070