Multiple Choice
Based on existing orders and forecasts, Foster Corporation expects sales of 18,000 units in the first quarter of the coming year and an additional 24,000 units in the second quarter. The company always maintains a finished goods inventory sufficient to supply 20% of the following quarter's sales needs, and has that quantity on hand as the first quarter is about to begin. What number of units must Foster Corporation produce in the first quarter of the coming year?
A) 22,800
B) 19,200
C) 26,400
D) 38,400
Correct Answer:
Verified
Correct Answer:
Verified
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