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The Sales Budget for Modesto Corp

Question 54

Multiple Choice

The sales budget for Modesto Corp.shows that 20,000 units of Product A and 22,000 units of Product B are going to be sold for prices of $10 and $12,respectively.The desired ending inventory of Product A is 20% higher than its beginning inventory of 2,000 units.The beginning inventory of Product B is 2,500 units.The desired ending inventory of Product B is 3,000 units.Total budgeted sales of both products for the year would be:


A) $42,000.
B) $200,000.
C) $264,000.
D) $464,000.
E) $500,000.

Correct Answer:

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