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Homestyle Interiors Sells a Variety of Home Furnishings Including Sleeper  April 1000 sofas  May 1400 sofas  June 2000 sofas \begin{array}{ll}\text { April } & 1000 \text { sofas } \\\text { May } & 1400 \text { sofas } \\\text { June } & 2000 \text { sofas }\end{array}

Question 37

Multiple Choice

Homestyle Interiors sells a variety of home furnishings including sleeper sofas.At 31 March,the company had 400 sofas in inventory.The company's policy is to maintain a sleeper sofa inventory equal to 2 per cent of next month's sales.The company expects the following sales activity for the second quarter of the year:
 April 1000 sofas  May 1400 sofas  June 2000 sofas \begin{array}{ll}\text { April } & 1000 \text { sofas } \\\text { May } & 1400 \text { sofas } \\\text { June } & 2000 \text { sofas }\end{array}

What is the projected production for May?


A) 1332 sofas
B) 1468 sofas
C) 1388 sofas
D) 1412 sofas

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