Assume that Stillwater Designs produces two automotive subwoofers: S12L7 and S12L5. The S12L7 sells for $475, and the S12L5 sells for $300. Projected sales (number of speakers) for the coming five quarters are as follows:

	S12L7		S12L5
First quarter, 20Y1	1,040		1,690
Second quarter, 20Y1	2,860		1,820
Third quarter, 20Y1	7,280		6,890
Fourth quarter, 20Y1	5,980		5,070
First quarter, 20Y2	1,170		1,560

The vice president of sales believes that the projected sales are realistic and can be achieved by the company.

Stillwater Designs needs a production budget for each product (representing the amount that must be outsourced to manufacturers located in Asia). Beginning inventory of S12L7 for the first quarter of 20Y1 was 340 boxes. The company's policy is to have 20% of the next quarter's sales of S12L7 in ending inventory. Beginning inventory of S12L5 was 170 boxes. The company's policy is to have 30% of the next quarter's sales of S12L5 in ending inventory.

Required:

Question Content Area

Prepare a production budget for each quarter for 20Y1 and for the year in total.

	1st Qtr.	2nd Qtr.	3rd Qtr.	4th Qtr.	Year
Sales	fill in the blank 696f9bfe8fee04c_1	fill in the blank 696f9bfe8fee04c_2	fill in the blank 696f9bfe8fee04c_3	fill in the blank 696f9bfe8fee04c_4	fill in the blank 696f9bfe8fee04c_5
Desired ending inventory	fill in the blank 696f9bfe8fee04c_6	fill in the blank 696f9bfe8fee04c_7	fill in the blank 696f9bfe8fee04c_8	fill in the blank 696f9bfe8fee04c_9	fill in the blank 696f9bfe8fee04c_10
Total needs	fill in the blank 696f9bfe8fee04c_11	fill in the blank 696f9bfe8fee04c_12	fill in the blank 696f9bfe8fee04c_13	fill in the blank 696f9bfe8fee04c_14	fill in the blank 696f9bfe8fee04c_15
Less: Beginning inventory	fill in the blank 696f9bfe8fee04c_16	fill in the blank 696f9bfe8fee04c_17	fill in the blank 696f9bfe8fee04c_18	fill in the blank 696f9bfe8fee04c_19	fill in the blank 696f9bfe8fee04c_20
Units produced	fill in the blank 696f9bfe8fee04c_21	fill in the blank 696f9bfe8fee04c_22	fill in the blank 696f9bfe8fee04c_23	fill in the blank 696f9bfe8fee04c_24	fill in the blank 696f9bfe8fee04c_25

Question Content Area

Prepare a production budget for each quarter for 20Y1 and for the year in total. If required, round your answers to nearest whole value.

	1st Qtr.	2nd Qtr.	3rd Qtr.	4th Qtr.	Year
Sales	fill in the blank 6d18ed0d8fd2fcc_1	fill in the blank 6d18ed0d8fd2fcc_2	fill in the blank 6d18ed0d8fd2fcc_3	fill in the blank 6d18ed0d8fd2fcc_4	fill in the blank 6d18ed0d8fd2fcc_5
Desired ending inventory	fill in the blank 6d18ed0d8fd2fcc_6	fill in the blank 6d18ed0d8fd2fcc_7	fill in the blank 6d18ed0d8fd2fcc_8	fill in the blank 6d18ed0d8fd2fcc_9	fill in the blank 6d18ed0d8fd2fcc_10
Total needs	fill in the blank 6d18ed0d8fd2fcc_11	fill in the blank 6d18ed0d8fd2fcc_12	fill in the blank 6d18ed0d8fd2fcc_13	fill in the blank 6d18ed0d8fd2fcc_14	fill in the blank 6d18ed0d8fd2fcc_15
Less: Beginning inventory	fill in the blank 6d18ed0d8fd2fcc_16	fill in the blank 6d18ed0d8fd2fcc_17	fill in the blank 6d18ed0d8fd2fcc_18	fill in the blank 6d18ed0d8fd2fcc_19	fill in the blank 6d18ed0d8fd2fcc_20
Units produced	fill in the blank 6d18ed0d8fd2fcc_21	fill in the blank 6d18ed0d8fd2fcc_22	fill in the blank 6d18ed0d8fd2fcc_23	fill in the blank 6d18ed0d8fd2fcc_24	fill in the blank 6d18ed0d8fd2fcc_25