Below is budgeted production and sales information for Porter Cans, Inc. for the

Question

Below is budgeted production and sales information for Porter Cans, Inc. for the month of December:
Aluminum Tin
Estimated beginning inventory 10,000 units 4,000 units
Desired ending inventory 14,000 units 3,000 units
Region I, anticipated sales 360,000 units 80,000 units
Region II, anticipated sales 120,000 units 20,000 units
The unit selling price for aluminum cans is $0.10 and for tin cans is $0.15.
Budgeted sales for the month are $63,000
Budgeted production (use Above Budget Production Info) for aluminum cans during the month is
a. 476,000 units. b. 480,000 units. c. 484,000 units. d. 504,000 units.

Explanation / Answer

b. 480,000 units

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