Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Bombs Away Video Games Corporation has forecasted the following monthly sales $97,000 July March April May June 90,000 August 22,000 Septmber 22,000 October 17,000 November
Bombs Away Video Games Corporation has forecasted the following monthly sales $97,000 July March April May June 90,000 August 22,000 Septmber 22,000 October 17,000 November 32,000 December S 42,000 42,000 52,000 82,000 102,000 120,000 Total annual sales- $720,000 Bombs Away Video Games sells the popular Strafe and Capture video game. It sells for $5 per unit and costs $2 per unit to produce. A level production policy is followed. Each month's production is equal to annual sales (in units) divided by 12 Of each month's sales, 30 percent are for cash and 70 percent are on account. All accounts receivable are collected in the month after the sale is made. a. Construct a monthly production and inventory schedule in units. Beginning inventory in January is 22,000 units. Bombs Away Video Games Corporation Production and Inventory Schedule in Units Beginning SalesEndin Inven +Production 12,000 12,000 12,000 12,000 12,000 12,000 Inven January February March April May June Ju August 22,000 October
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started