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Watson Corporation Manufactures Boxes

Question 2

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Watson Corporation manufactures boxes.The estimated numbers of boxes sold for the first three months of 2011 are as follows: Watson Corporation manufactures boxes.The estimated numbers of boxes sold for the first three months of 2011 are as follows: Finished goods inventory at the end of December was 600 units.Ending finished goods inventory is equal to 20 percent of the next month's sales.Watson Corporation expects to sell the boxes for $5 each.April 2011 sales are projected at 4,500 boxes.How many boxes should be produced in February? A) 4,140 boxes B) 4,200 boxes C) 4,260 boxes D) 3,900 boxes Finished goods inventory at the end of December was 600 units.Ending finished goods inventory is equal to 20 percent of the next month's sales.Watson Corporation expects to sell the boxes for $5 each.April 2011 sales are projected at 4,500 boxes.How many boxes should be produced in February?


A) 4,140 boxes
B) 4,200 boxes
C) 4,260 boxes
D) 3,900 boxes

Correct Answer:

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