=+EX 22-5 Production budget obj. 4

✔ Small scale budgeted production, 51,600 units Harmony Audio Company manufactures two models of speakers, DL and XL. Based on the following production and sales data for September 2009, prepare

(a) a sales budget and

(b) a production budget.

DL XL Estimated inventory (units), September 1 . . . . . . 240 60 Desired inventory (units), September 30 . . . . . . . 275 52 Expected sales volume (units):

East Region . . . . . . . . . . . . . . . . . . . . . . . . . . 3,700 3,250 West Region . . . . . . . . . . . . . . . . . . . . . . . . . . 4,250 3,700 Unit sales price . . . . . . . . . . . . . . . . . . . . . . . . . . $125 $195