Bengal Co Provides the Following Sales Forecast for the Next Three

Bengal Co. provides the following sales forecast for the next three months: Sales units
$$\begin{array} { l r r } \text { July } & \text { August } & \text { September } \\5,000 & 5,700 & 5,560\end{array}$$ The company wants to end each month with ending finished goods inventory equal to 25% of the next month's sales. Finished goods inventory on June 30 is 1,250 units.
-The budgeted production units for July are:

A) 6,425 units.
B) 6,250 units.
C) 5,175 units.
D) 3,750 units.
E) 2,500 units.

Correct Answer:

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