Question
Billings Company produces and sells a single product. Expected sales for the next four months are given below: Sales in Units....April 10,000 May 12,000 June
Billings Company produces and sells a single product. Expected sales for the next four months are given below: Sales in Units....April 10,000 May 12,000 June 15,000 July 9,000 The company needs a productions budget for the second quarter. Experience indicates that end-of-month inventories should equal 10% of the following month's sales in units. At the end of March 1,000 units were on hand. Complete the following production for the quarter. April May June Quarter Budgeted sales for each month and quarter Add desired ending inventory for each month and quarter Total needs for each month and quarter Less beginning inventory for each month and quarter Required production for each month and quarter
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