Solved: Jj company expects to sell the widgets for forty-five, Accounting Basics

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Jj company expects to sell the widgets for forty-five

Question - JJ Company manufactures widgets. The estimated number of widget sales for the first 3 months of the current year is:

Month Unit Sales

Jan 2000

Feb 3000

Mar 2400

Finished goods inventory at the end of last Dec was two-hundred units. Ending finished goods inventory is equal to twenty five percent of the next month's sales. JJ Company expects to sell the widgets for forty-five dollars each. How many widgets should JJ produce in Jan?

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Accounting Basics: Jj company expects to sell the widgets for forty-five

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