Totts company produces Jump Ropes It has the following Sales

Totts company produces Jump Ropes. It has the following Sales Projections for the upcoming year: First Quarter Budgeted Jump Rope Sales in Units: 25,000 Second Quarter Budgeted Jump Rope Sales in Units: 80,000 Third Quarter Budgeted Jump Rope Sales in Units: 16,000 Fourth Quarter Budgeted Jump Rope Sales in Units: 26,000 Inventory at the beginning of the year was 4,400 Jump Ropes. Totts Company wants to have 10% of the next quarter\'s sales in units on hand at the end of each quarter. How many Jump Ropes should the company produce during the first quarter?

Solution

Calculate production units during first quarter ;

So 28600 Jump Ropes should the company produce during the first quarter.