The following information was drawn from the inventory records of Alpha Company as of December 31, Year 2.

Beginning inventory (purchased in Year 1) 200 Units @ $5 each
Purchases made in Year 2 800 Units @ $8 each
Units Sold 900 Units @ $12 each

Which of the following is the amount of the gross margin assuming Alpha uses a FIFO cost flow method?

a) $3,900 b) $6,900 c) $4,200 d) $6,600

Krier industries has just completed its sales forecasts and its marketing department estimates that the company will sell 43,800 units during the upcoming year. in the past, management has maintained inventories of finished goods at approximately 3 months' sales. however, the estimated inventory at the start of the year of the budget period is only 7,300 units. sales occur evenly throughout the year. what is the estimated production level (units) for the first month of the upcoming budget year?