How many units should be produced in january


A company budgeted unit sales of 136,000 units for January, 2012 and 160,000 units for February, 2012. The company has a policy of having an inventory of units on hand at the end of each month equal to 30% of next month's budgeted unit sales. If there were 40,800 units of inventory on hand on December 31, 2011, how many units should be produced in January, 2012 in order for the company to meet its goals?

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Accounting Basics: How many units should be produced in january
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