The cats and dogs league was organized as a nongovernmental not-for-profit organization. the league received a pledge of $10,000 to be used to build an addition to the kennel. this donation will not be received for three years. how should this pledge be recorded?

The correct answer is D.

Explanation:

Giving the following information:

Quarter 1: 17,000;

Quarter 2: 15,000;

Quarter 3: 19,000;

Quarter 4: 21,000.

Company policy is to have a target finished-goods inventory at the end of each quarter equal to 25 % of the next quarter's sales.

2nd Q production:

Sales= 15,000

Ending inventory= 0.25*19,000= 4,750

Beginning inventory= (15,000*0.25)= (3,750)

Total= 16,000 units