The production budget for cars for May (in units) is?

Munch Enterprises makes a small toy car that is voice activated. Projected sales for the next four months are

Month Planned Sales (Units)
April 5,500
May 6,500
June 4,500
July 5,600

The cars sell for $35 each. To produce each car requires $12.50 in direct materials and $6.00 in direct labour. Fixed overhead costs related to manufacturing the car are $10,000 per month, while variable overhead is 4.50 per car. Munch normally produces a month’s supply of inventory to ensure that it will not fall short in case sales are unexpectedly high. At the end of March, for instance, the company will have inventory to cover April sales.

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The production budget for cars for May (in units) is

Select one:a.4,500b.6,500c.10,100d.11,000

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