Fuqua Company's sales budget projects unit sales of part 198Z of10,400units in January,13,000units in February, and13,400units in March. Each unit of part 198Z requires4pounds of materials, which cost $3per pound. Fuqua Company desires its ending raw materials inventory to equal 40% of the next month's production requirements, and its ending finished goods inventory to equal 20% of the next month's expected unit sales. These goals were met at December 31, 2019.

CALCULATOR PRINTER VERSION 4 BACK NEXT bl Question 1 Fuqua Company's sales budget projects unit sales of part 1982 of 10,400 units in January, 13,000 units in February, and 13,400 units in March. Each unit of part 198Z requires 4 pounds of materials, which cost $3 per pound. Fuqua Company desires its ending raw materials inventory to equal 40% of the next month's production requirements, and its ending finished goods inventory to equal 20% of the next month's expected unit sales. These goals were met at December 31, 2019. Prepare a production budget for January and February 2020. FUQUA COMPANY Production Budget For the Two Months Ending February 28, 2020 v January February Expected Unit Sales V '3 Add v : Desired Ending Finished Goods Inventory v CALCULATOR PRINTER VERSION 1 BACK NEXT Prepare a direct materials budget for January 2020. FUQUA COMPANY Direct Materials Budget January V V V V V V