1. (15 points) A sales budget is given below for one of the products manufactured by the Key
Co.:
January
February
March
April
May
June
21,000 units
36,000 units
61,000 units
41,000 units
31,000 nits
25,000 units
The inventory of finished goods at the end of each month should equal 20% of the next month's
sales. However, on December 31 the finished goods inventory totaled only 4,000 units. Each unit
of product requires three specialized electrical switches. Since the production of these specialized
switches by Key's suppliers is sometimes irregular, the company has a policy of maintaining an
ending inventory at the end of each month equal to 30% of the next month's production needs.
This requirement had been met on January 1 of the current year.
Required:
a. Prepare a budget showing the required production each month for January, February, March,
and April
b. Prepare a budget showing the quantity of switches to be purchased each month for January,
February, and March.
Business
Views: 0 Asked: 12-12 04:08:36
On this page you can find the answer to the question of the business category, and also ask your own question
Other questions in category
- northeast incorporated is preparing the company's statement of cash floes foe the fiscal net income ...
- which statement accurately depicts how volatile exchange rates affect the international capital mark...
- How much interest is earned in just the 2nd year on a $1,000 deposit that earns 7% interest compound...
- a comprehensive performance measurement tool that reflects the measures critical to the success of t...
- For billing and collection purposes, companies keep a separate accounts receivable account for each ...
- Match the following government organizations with their healthcare and/or health information technol...
- pam is a sales manager for paradise beauty products. she has told her sales people that she expects ...
- According to the neoclassical view, an increase in the cpi leads to __________, ceteris paribus...
- The reserve requirement is 10%, and Olga withdraws $3,000 for travel money from her checking account...
- What are the advantages of picking fruits safely from the tree...