D G H M N AD 1 Chapter 7 Review Problem 1 - Production Budget modified 2 Mylar Company manufactures and sells a single product. The following information concerns the upcoming year, Year 2 and the first two quarters of Year 3 4 a Budgeted sales in units for the next six quarters are as follows: 3 3 6 Year 2 Quarters 1 Budgeted sales in units 2 3 40,000 50,000 100,000 4 Year 3 Quarters 1 2 50,000 70,000 80,000 The company desires ending finished goods inventory on hand of 30% of next quarter's budgeted sales in units. The ending inventory at the the fourth quarter 10 b. for Year 1 was 12,000 units 11 12 Required: 13 1. Prepare the production budget for Year 2 (10 marks) 14 15 16 17 18 19 20 21 Budgeted sales in units Add: desired ending inventory Total needs Deduct: beginning inventory Budgeted required production Year 2 Quarters 1 2 3 Year 2 Try again Try again Try again Try again Try again Try again Try again Try again Try again Try again Try again Try again Try again Try again Try again Try again Try again Try again Try again Try again Try again Try again Try again Try again Try again Total marks earned 22 23 24 25