Stut Corporation, a retailer, plans to sell 28,000 units of Product X during the month of August. If the company has 6,000 units on hand at the start of the month, and plans to have 9,000 units on hand at the end of the month, how many units of Product X must be purchased from the supplier during the month?

Stut Corporation, a retailer, plans to sell 28,000 units of Product X during the month of August. If the company has 6,000 units on hand at the start of the month, and plans to have 9,000 units on hand at the end of the month, how many units of Product X must be purchased from the supplier during the month?

Multiple Choice

• 31,000

  Correct
• 37,000
• 28,000
• 25,000

Explanation

Budgeted unit sales		28,000
Add desired ending merchandise inventory		9,000
Total needs		37,000
Less beginning merchandise inventory		6,000
Required purchases		31,000