Trago company manufactures a single product and has a jit policy that ending inventory must equal 5% of the next month's sales. it estimates that may's ending inventory will consist of 14,000 units. june and july sales are estimated to be 280,000 and 290,000 units, respectively. compute the number of units to be produced in june.

Respuesta :

The number of units to be produced for Trago company in June is 280,500

What is unit of production?

Production is the method of turning raw materials or inputs into finished goods.

Calculation of number of units to be produced in June.

June sales units                                                     280,000

Desired ending inventory (290,000 × 0.05)        14,5,00

Units needed                                                          294,500

Beginning inventory                                              (14,000)

June production units                                           280,500

Hence, the number of units to be produced in June is 280,500

Learn more about production here : https://brainly.com/question/7924898

#SPJ1