Question
1)Bengal Co. provides the following sales forecast for the next three months: July 7,500 August 8,200 September 5,850. The company wants to end each month
1)Bengal Co. provides the following sales forecast for the next three months: July 7,500 August 8,200 September 5,850.
The company wants to end each month with ending finished goods inventory equal to 20% of the next month's sales. Finished goods inventory on June 30 is 1,500 units. The budgeted production units for August are: A-9,700 units. B-7,030 units. C-9,370 units.D- 7,730 units. E- 6,890 units.
2) A sporting goods manufacturer budgets production of 57,000 pairs of ski boots in the first quarter and 48,000 pairs in the second quarter of the upcoming year. Each pair of boots require 2 kg of a key raw material. The company aims to end each quarter with ending raw materials inventory equal to 25% of the following quarters material needs. Beginning inventory for this material is 28,500 kg and the cost per kg is $7. What is the budgeted materials need in kg. in the first quarter?
3) The sales budget for Modesto Corp. shows that 16,000 units of Product A and 18,000 units of Product B are going to be sold for prices of $11 and $13, respectively. The desired ending inventory of Product A is 30% higher than its beginning inventory of 3,700 units. The beginning inventory of Product B is 4,200 units. The desired ending inventory of B is 4,700 units. Total budgeted sales of both products for the year would be:
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